MISC rose to an intra-day high of RM9.10 at about 11.45am & then entered into a correction. The intra-day correction was very severe & the share price was pushed back to the level where the stock started out in the morning (see the 30-min chart below). This correction will lead to the formation of a candlestick called the
shooting star. This candlestick when it appeared after a long rally, could signify a possible bearish reversal, subject to confirmation on the following day. If confirmed, the stock is likely to drift to test horizontal support at RM8.70-75 & the breakout level of RM8.50.
Chart: MISC's 30-min chart as at April 20, 2010_4.24pm (Source: Quickcharts)The earlier call remained valid provided the stock does not violate the breakout level of RM8.50. The unfortunate timing of the post, clashing into the correction, is much regretted.
11 comments:
HI Alex, dont mind to advise the FARLIM (TA and FA) and TIMECOM (FA).
Oso TPC (FA n TA)
Dear Alex,
Basing on the Technicals, your comments are excellent. But sometimes markets will move irrationally due to some hidden Forces.
Keep it up and your good work is greatly appreciated !
Hi Kyong,
It's part & parcel of investing or trading when market performed contrary to one's prediction. I have made good calls & not-so-good calls, but the MISC call has been a real roller coaster ride: exhilaration one moment, depression the next. Anyway, thanks for the kind words.
Hi Cheer,
I will give you my thought on the technical outlook for the following stocks:
1) Farlim has good horizontal support at RM0.30-32 & strong horizontal resistance at RM0.35-36.
2) Time.com has good horizontal support at RM0.45-46 & strong horizontal resistance at RM0.55.
3) TPC has good support at RM0.28, which is the 20-week SMA line. This stock will likely to trade between RM0.28-29 since London Biscuit has offered to buy up the company at RM0.30 per share.
I would leave the FA to you to do.
Hi Alex,
Any good share can be trading buy ?
hi alex. please comment TALAM. how it FA and TA of TALAM? Actually, what is the fair value for TALAM?
hi alex. please comment TALAM. how it FA and TA of TALAM? Actually, what is the fair value for TALAM?
Hi Alex,
Would appreciate your inputs on CBIP. Based on last quarter's results its profits seem to be picking up but the stock doesn't seem to be going anywhere.
My average buying price is RM 2.70 and I thought it was about to break past RM 2.95 recently but now it's almost back to where I bought it. One of it's major shareholders HSBC is selling a lot lately.
In line with the soft market conditions lately I'm thinking just sell and break even now, and maybe buy back later at a lower price.
Hi wong,
I have been looking at TALAM for the past few days. I have posted on its technical breakout. I won't look at the fundamental aspects of this company because it is a lot of work. This group was in & out of ICU since 2001! There have been a few proposals to rationalize or regularize its financial position over the years. Without reading through these proposals, one cannot form a proper opinion.
The last newspaper report that I've read regarding the Selangor State government's acquisition of some Talam bond, seems to suggest that there were some loans not included into Talam's regularization scheme. How is that possible? Then again, Talam's affair has been so long drawn-out that I guess anything is possible.
Hi AlexP,
CBIP has been drifting since making a high of RM3.50 in June 2009. A medium-term downtrend line can be drawn, with resistance at RM2.90-92. One can also draw a parallel line, which acts as a support (at RM2.48-50). The short-term trend for this stock over the next 2-3 week is down, possibly testing the parallel line support of RM2.48-50 (which happens to be near the psychological/horizontal support of RM2.50).
If you are contemplating a disposal, I would suggest that you wait for the subsequent rebound towards the downtrend line to do so. However, you should wait to see whether it can break above the downtrend line. Sell only if it failed to do so.
Good luck.
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