Wednesday, February 25, 2015

Gamuda, IJM & WCT: Rail, Road & Malls

 If you look at the top 3 construction stocks on Bursa - Gamuda, IJM & WCT - you will notice the following:
1. Gamuda is in a steady uptrend. It may reach RM6.00 if it can surpass its recent high of RM5.30-5.34.
2. IJM has recently broken above its strong horizontal resistance at RM7.00-7.05. I believe it could reach its next psychological level of RM8.00.
3. WCT, with very little contracts in had & more focused on building shopping malls, has recently dropped to its long-term uptrend line. It could be poised for a decent recovery if it succeeds in securing more contracts.
Based on this quick technical study, I think all three stocks are worth considering for investment. While WCT is a laggard & deprived of a large contract book, it is relatively cheap.


Chart: Gamuda, IJM & WCTh's monthly chart as at Feb 24, 2015 (Source: ShareInvestor.com)

Note:
In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of,Gamuda, IJM & WCT.

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