Weekend Update

Dow (17,760)

Dow performed strongly on Friday, added 211 points (+1.21%) to close the week at 17,760. It is forming the wave c of mini wave 4 rebound. Next down will be the mini wave 5.

 



FBMKLCI (1,715)

KLCI continued with its wave b rebound and added 14 points (+0.825) on Friday. Under this option it should continue to move higher and goes above its mini wave 1.

However, if it is unable to move higher next week, the next possibility is as shown below, wave a has one more down leg.

 

 

Chen Lip Keong has three boring stocks

 

First one is Karambunai (Rm 0.055). 

 

Losing money every quarters. From 19 sens in early 2011, it dropped all way within a downtrend channel to 5.5 sens on Friday. CLK is holding more than 74% of the shares. In 2013 Kbunai issued 2.9 billion shares valued at 11.11 sens to CLK for the settlement of Rm 322 millions of his personal loan to Kbunai.

 

Similarly Kbunai issued another 320 million shares also valued at 11.11 sens to FACB to write off  Rm 35.6 million outstanding loan.

 



 

 

It appeared to me that Kbunai is possibly forming its last movement for its wave C of (2) and if it can move up from this level, then it is a 'double-bottom' formation.

 

 

Second one is Facb Industries (Rm 1.06).

 

Every quarter earning a few miserable sens but is cash rich with zero borrowing. Besides its businesses and other assets, its cash per share is Rm 1.74 but it was traded at Rm 1.06 last Friday. I don't understand.

 

Technically it has been forming its major wave 4 since early 2014. From the chart below, it may even go below Rm 1.00 to complete its 4.



 

 

 

 

Third one is Petaling Tin (Rm 0.25)

 

Losing money since 2008 except 2011 (+0.43 sen) and 2012 (+2.47 sen). Net assets per share is Rm 1.03. Same as Kbunai, it has 1,500 acres of land in Sabah located at the Karambunai Peninsular valued at Rm 3.53 per sq. ft. 62 acres under the same master title has been approved and subdivided for development and is valued at Rm 14.30 a sq. ft. Just wonder what should be the valuation for that 1,500 acres of land.

 

According to my wave count, if I am right, it is at the tail end of its mega wave (4).

 

 



 

 

Don't forget, quite often I have read the charts wrongly. 

 

 

 

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