Friday, September 29, 2006

Wellcall, Mems & Maemode

If your stock goes up, better find a reason why. If not, Bursa will issue a query, making everyone nervous and dump it. Then you'll get stressful and have no good night sleep. If it is manipulated, then Bursa should check with the brokers. Find the left and right hand. With today's technology, you can tap phones, intercept emails etc. I'm sure Bursa knows the taikos. Most of the people most of the time will buy because it is up. There is no logic involve in buying, everthing is just emotionl decision. Where got time to read news or DJ Market Talk. With the amount of information available, I just give up. there an indicator where we can predict when Bursa will issue a query? Maybe Bursa should be transparent about these, protection of minority speculators rights is a must. If we don't speculate, you don't make money. It will be a lose-lose situation.

Wellcall: Going strong after CIMB strong buy call.

Mems: False break at 0.57. Under going correction. At support line. Possible buy if support holds. If not, it will be ugly for the bulls.

Maemode: After 2 weeks of consolidation, Maemode is continuing the uptrend.

Wednesday, September 27, 2006


At resistance area. Gap up today and at daily overbought zone. Will the bulls push further? Maybe interest for Media-WA (Ex price RM1.10, Ex date 31 Jul 2008) will increase if Media continues up.

Friday, September 22, 2006

The Greatest Show On Earth

I trade both fundamental and speculative counters. For fundamental counters, the stop are usually set a bit further that speculative shares. Why? Because fundamental counters tend to have slow and steady movement, just like a marathon runner. For speculative, they run like a sprinter, very quickly go out of breath.

But both entry and exit are based on my technical analysis. At least it allows me to stay breakeven :p

Why do I trade speculative counters? Because they move fast and you get your adrenalin rush seeing them move. I'm still not yet a good trader, emotion still exist. It's hard to control it since we are only human. So it's really exciting when you see your stock rises (a happy feeling). When it goes further, you get nervous. (feeling jittery), many questions now pops out, will it go further (a sign of greed), or will I lose my open profit (that's fear). Well, the stock market is the greatest show on earth. Everyone likes to watch it. Look at the brokerage open gallery during a bull rally, it's choke full of auntie and uncles that are spending their retirement in front of the big screen. Now, since we have Internet and mobile phones, we will tend to take a peak at our "bet" every few minutes. Oh yes, the greates show on earth......

Thursday, September 21, 2006


Ascending triangle. Will the bulls push it out this time?

Monday, September 18, 2006

Nextnat, Mems & Frontkn

My instinct told me to buy Tenaga CWs. But as the CW charts did not issue the buy signal even though Tenaga has, I did not buy as I wanted to stick to my rules. The CWs has gone up very fast. I can't enter now as my stop will be too wide and the lost will be too big for me if it goes wrong. So, the question is, if I have the same instinct some time in the future, do I follow it or stick to my trading rules? How do I differentiate inner instinct from emotional influence decision? Or did I get the rules wrongly written? Maybe I should only analyse the mother chart as the mother will influence the movement of the daughter?

Nextnat: Daily chart indicates consolidation is over.

Mems: A lot of gain in 1 day. Daily is overbought. Currently at the previous resistance. Will the bulls break it?

Frontkn: Will there be a play for this counter? Daily buy signal triggered.

Saturday, September 16, 2006

Mesdaq, Tenaga & Measat

There is a good chance the KLCI index will break the previous high. I'm seeing Maybank and now Tenaga starting to move. Furthermore, penny shares in Mesdaq may have bottomed out.

Mesdaq: Light at the end of the tunnel? A reversal candle may indicate the end of consolidation. Lets see whether the weekly RSI downtrend line can or cannot be broken.

Tenaga: It's this big elephant's time to move. The covered warrants will be a good hedge for this stock. Tenaga-CA (Ex price RM7.96, Ex date 28 Jan 2008) and Tenaga-CB (2 for 1, Ex price RM 4.54, Ex date 19 Oct 2007).

Measat: Maybe at the launch pad for blast off. Satellite launch in Nov 2006 - Jan 2007. Volume still low. Nobody is paying attention yet.

Friday, September 15, 2006

Air Asia

AirAsia: Based on closing price on 14 Sept, indicators are mixed. Monthly says it is a rebound. Weekly indicators show that the downtrend is over. Maybe a new uptrend is forming, but I can't definately say at the moment.

Tuesday, September 12, 2006


GHLSys: Only weekly MACD is not flashing a buy (but improving). The other signals say up.

Monday, September 11, 2006

KLCI & Maemode

KLCI: The KLCI weekly RSI uptrendline has been broken. A sign that the bears are slowly in control.

Maemode Breakout with volume. Let's see whether the bulls can keep charging.

Sunday, September 10, 2006

Be neutral

nik271 commented that he believes that Favco's fair value is 0.72. Well that is his opinion or some analyst opinion (if he gets his idea from somewhere) and his style of trading. He may be a value investor who can wait 1 whole year for the stock to reach it's fair value. For me, I have a limited capital. I cannot affort to wait for something that may or may not happen. I need to ride a stock when it is starting to move.

In addition to that, I will not predict where the stock will go but to let the stock tell me where it wants to go. A stock will move when it wants to move. Nobody can force it alone. It needs all the market participants to move it. If you predict where it will reach, then you will have an opinion ingrained inside you. This is a dangerous thinking as you will refuse to read the market neutrally which will result in big financial damage. This mind set is hard to train. That's why most of us are giving our money to someone better than us.

Friday, September 08, 2006

Strike out by Favco and SimeEng

2 strikes this week. Sold out Favco with a loss. I have drawn the wrong channel trendline. It is still in downtrend. No sign of turning. A mistake in jumping in too early.

Another one is SimeEng. No momentum to move up yet. Looks like it is dropping slowly. This loss is smaller as compared to Favco. I just don't want to tie up my capital when there are other oppurtunities available. At least I have released my mind from these losing counters. No point hoping for a miracle.

Tuesday, September 05, 2006


Is it over? Daily chart indicates a correction is imminent. Weekly chart does not yet indicate the trend is over. Possibly the correction will go to 950. The volume does not indicate an exhaustion rally. It is too low. Does this indicate that it is a bear rally? Not possibly because weekly indicators are all positive. Past 2 years weekly RSI analysis shows that there should be 2 overbought peaks before we have a major correction.

My intepretation from all of these is that there will be a mild correction, then another rally, maybe pass 970 to draw out the crowds, then maybe we will have a major correction.

The next move should involve bigger caps as SC is coming hard on small speculative counters. Smart taikos will do the tango to avoid any enquiries (i.e. mems)

A few of my counters stop lost has been hit. Time to weed out the weaklings.