Call Warrant updates as at January 12

After a short break, I'm posting again about Call Warrants (CW). This is partly to fulfill the requests from some of you as well as allowing me to keep in touch with the sentiment in the CW sector. There is nothing like updating the CW table to get a good feel of the dynamics of this sector; kind of like the early chartists, before the advent of personal computers, who claimed that they could get a better feel about a stock by plotting the chart themselves! It sounds crazy & definitely time-consuming, but I believe there is some truth in that.

Anyway, the usual CW update is posted below for your easy reference. The cheap CWs are highlighted in yellow while 2 CWs that are due to expire in January 2007 (i.e. Astro-CA & Scomi-CA), have their expiry dates highlighted in pink and the 4 CWs that are due to expire from February to April 2007 (i.e. BJToto-CA, Bursa-CA, IOI-CA & TM-CB) have their expiry dates highlighted in orange.



The table comparing the changes in the prices of CWs vis-s-vis the changes in the underlying shares has been omitted. I shall include that in the next post, which will be only next Friday.

Despite the CI making a higher "high" in the first half of January 2007 as compared to the first half of December 2006, I observed that almost all the CWs failed to make new highs. The most important reason for this development is that the majority of the underlying shares (mostly, blue chips) are not making higher "highs". Even for the small minority that managed to make higher "highs" in January 2007, the related CWs did not make higher "highs" (eg. KLK-CA). One conclusion that we can draw from these observations is that the consolidation of the CWs is still not over. The weakness amongst the blue chips may be a sign that the market is entering a different phase where the players have begun to shift their attention to second- & third-liners.