Wednesday, October 18, 2017

Dutaland bhd (Rm 0.655) - Two possibilities

Duta has a small pullback on Tuesday. This 1.5 sens drop can either be the mini wave 2 if Duta can move higher from here.

Or it can be the starting of the wave c of ii as shown below.

For the second possibility I do not expect Duta to go below the 60 sens level. And if it does go below the 60 sens level, I will have to review my wave count to look for other possibilities.


Monday, October 16, 2017

Dutaland Bhd (Rm 0.67)

Duta added 4 sens today with improved volume. If Duta can continue to move higher tomorrow then it is forming the sub-wave iii of its wave (iii) of its major wave 3 of mega wave (3).  The run-up is likely to be accompanied by record volume.

Duta's latest earning for quarter ending 30th June is 1.78 sens per share. Net assets per share is Rm1.11.

From this latest financial statement, its cash in hand is about Rm 9 million and borrowing is Rm 4 million. Net cash in hand is Rm 5 million. Now Duta is selling its 11,579 hectares of plantation to Boustead for Rm 750 million. When the sale is completed, Duta will have Rm 755 million of cash. If I divide Rm 755 million by its number of share of 846 million, cash per share is  89 sens.

Duta other projects include Kenny Height with 73.44 acres of property development at the neighbourhood of Mont Kiara and Solaris Dutamas. Duta has only 58% control interest in this project. During the first quarter of this year, Duta has sold 9.01 acres of its 73.44 acres for Rm 140 million. The balance 64.43 acres should worth Rm 1,001 million where Duta's 58% interest translates into Rm 580 million or Rm 0.685 a share.

Another project is the revival of its 64 storeys Duta Grand Hotel near Petronas Twin Towers and KL Tower. Construction has reached level 32 when the project was halted due to the 1997-98 financial crisis. Its book value was Rm 332 million in 1996.

The third project is the Lake Side Boulevard project in Seremban. The project comprises 182 units of shop-office. Gross development value is about Rm 115 million.


Sunday, October 15, 2017

Dow, FBMKLCI, ASB and Asiapac

Dow (22,817)

Dow continues to move higher to complete its sub-wave v. Is this sub-wave v going to be the end of its major wave 7? Possibility is there.

FBMKLCI (1,755)

KLCI close 9 points lower for the whole of last week. As I have mentioned a few days ago, I expect KLCI to continues its down trend until middle of 2018 to complete its 15% correction in a slow and gradual manner.

Advance Synergy Bhd (Rm 0.155)

ASB is about to start its major wave 3.

It has completed its mega wave (2) at the end of 2016 and since then it has completed its major wave 1-2.

There is a possibility that the two green candlesticks on last Thursday and Friday marked the starting of its major wave 3.

For its quarter ending 30th June, the earning is a negative 0.51 sens a share with net assets at 65 sens a share. From its balance sheet, it has cash of Rm 181 million. Its total borrowing is Rm 99 millions. Net cash is Rm 82 millions. If I divide that by its total number of share of 677 millions, I get 12 sens of cash per share. It was selling at 15.5 sens last Friday. After deducting 12 sens of cash, the balance 3.5 sens is for ASB's other business.

Its business covers 'Hotels & Resorts' operation in Malaysia, China, Indonesia, Qatar, Vietnam, Cambodia, United Kingdom and Saudi Arabia (Holiday Villa & D-Villa Chains); Information and Communication Technology; Travel & Tours; Property Development; Bus-Body Fabrication; Education; Card & Payment Services; and lastly Wellness.

Asian Pac Holdings Bhd (Rm 0.175)

It is possible that Asiapac has just completed its major wave 4 and it has just started to form its major wave 5.

It has formed a triple-bottom at the 15 sens level to end its major wave 4.

For its last quarter ending 30th June, its earning per share is a miserable 0.4 sen but its net assets per share is very strong at 95 sens. Its last Friday closing price of 17.5 sens is a big 81% discount to its net assets.


Thursday, October 12, 2017

Priceworth International Bhd (Rm 0.27) - Forming its wave (v)

Pworth continues to form its wave (v).

It has been trading within a narrow range of 1 to 1.5 sens for 7 consecutive trading days with 2 'doji' formation in the last two days. It appeared to me that it has reached the end of its sub-wave i.

Unless it can start to pull away from its current level with higher volume then my wave count will be slightly different.

Personally I feel that we need not worry about its short term price fluctuation. More important is whether the company's proposed corporate exercise can work out as planned to give Pworth a net profit of Rm100 million in the coming FY18. Pworth's net profit for its FY15 and FY16 were Rm2.38 million and Rm1.16 respectively.

According to its executive director Richard Koo, the Rm100 million will translate into earning per share of 10.89 sens. Click 'Pworth Rm100 million net profit' for the article published on 13 June 2017.

Looking at the16-year chart, there is no major resistance until it reaches the 48 sens level.


Wednesday, October 11, 2017

FBMKLCI (1,757) - Mini wave 3 has started

KLCI dropped to a low of 1,752 before a last minute rebound to close at 1,757 on Wednesday. It appeared to me that the short term technical rebound has ended and KLCI has started its mini wave 3.

As I have mentioned in my previous postings that this is going to be a 15% correction and I expect the KLCI to end its wave C near 1,520 level to complete the mega wave (6) by around the middle of 2018, say another 8 months to go to complete the correction.

From the current level of  1,757 to 1,520 the drop is 237 points over the next 8 months. That will translate into about 29 points a month or about 7 points a week. Very likely the market is going to maintain its current half-death behaviour for many more months until mega wave (6) is completed.


Tuesday, October 10, 2017

Berjaya Corporation Bhd - On its mega wave (3) ?

Since 2010 BJCorp (Rm0.36) has been moving in a down trend direction for 7 years from a high of around Rm1.70 to a low of around 31 sens in November 2016.

In my article dated 31 January 2017, I have shown the divergence in OBV and the possibility of the 31 sens low being the end of its mega wave (2). Click 'Huat-Ah' for that article.

After completing its wave (i) at 40.5 sens on 6 February 2017, BJCorp took 6 months to complete its wave (ii) at 32 sens on 15 August 2017. (Almost 100% retracement for its wave (ii)). The current up trend is very likely to be the wave (iii) of the new up trend.

Looking at the 30-minute interval chart, BJCorp is forming the mini wave 3 of its sub-wave iii currently.

There is still a long way to go for BJCorp if it has completed its mega wave (2) and is indeed forming its mega wave (3).

Technically mega wave (3) has to be much higher than the Rm1.70 level of the wave B of (2).


Sunday, October 8, 2017

EG - The starting of its major wave 5 ?

The possibility is there. If it is really on its major wave 5, its warrant-C should give better return than the mother share.