Wednesday, January 31, 2018

Despacito - Cantonese style

Priceworth International Bhd (Rm 0.255)

Pworth's current pullback is too deep for me to maintain my previous wave count. It appeared to me that very likely Pworth is forming an ascending triangles wave (v).

In a less likely scenario, it can be forming a sub-wave i-ii. If so, in the next few trading sessions Pworth should keep on going higher and should break the upper trendline.

A very bullish option is a i-ii, 1-2 formation with the next uptrend as the mini wave 3.


Tuesday, January 30, 2018

Blue Moon, Super Moon, Blood Moon and Eclipse of Moon

The last time all these three events lined up this perfectly was 31 March 1866.

For more information click 'NASA-Super Blue Blood Moon'.

West Malaysia is located between P1 and U1 of EST(Eastern Standard Time) roughly about 6.20 EST or 7.20 pm Malaysia time. I hope my interpretation and calculation is correct.


Monday, January 29, 2018

Mission Impossible

Sunday, January 28, 2018

Weekly Update

Dow (26,616)

Dow started its mega wave VII in March 2009 from 6,547 level. Within 9 years Dow has gained 20,069 points or 306%.

Dow has been forming its major wave 7 since February 2016 and it has gained 70% by Friday

Its major wave 1 gained 71%, major wave 3 gained 32% and major wave 5 gained 69.5%. I have a strong feeling that major wave 7 that has gained 70% so far is about to end. I expect major wave 8's correction to be about 15%.

But Dow might choose to continue with its current run with a sub wave vi correction.

Or with a wave (vi) correction.

FBMKLCI (1,853)

KLCI is currently at the minor wave iii of its mini wave 9.

KLCI is either at the tail end of its wave (iii) of B.

Or it is at the tail end of the sub wave iii of its wave (iii) of major wave 5.

Aemulus Holding Bhd (Rm 0.625)

Aemulus announced a 1 for 4 bonus issue on Friday after the marked has closed. Technically sub-wave iii of wave (i) should be starting too.

Based on the 30-minute interval chart, the sub-wave ii has ended.

T7 Global Bhd (Rm 0.585)

T7Global surged 8 sens or 15.84% on Friday. Very likely this is the minor wave iii of its mini wave 5. Since mini wave 3 cannot be the shortest wave, I expect T7Global to have 9 mini waves.

FACB Industries Incorporated (Rm 1.56)

Facb has been forming its mega wave (5) since July 2016. It gained 7 sens (+4.7%) on Friday. This surge confirm the formation of sub-wave vii of its wave (iii).

This is the starting of mini wave 3 of its sub-wave vii.

This is a quiet and slow moving stock despite the fact that it has Rm 163 million of cash in hand or cash per share of Rm 1.96. Its other core business are the manufacturing and trading of steel pipes and mattresses (Dreamland).

Insas Bhd (Rm 0.98)

Hopefully Insas has ended its major wave 4 and has already started its major wave 5.

It appeared to me that its major wave was in early December 2017.


Wednesday, January 24, 2018

Aemulus Holdings Bhd (Rm 0.63)

After reading the article 'AEMULUS站在巨人的肩膀与风口in November 2017, I have started to monitor Aemulus's chart to look for a good entry point.

Aemulus was listed on 15 September 2015 with IPO price at 28 sens. In December 2016 it dropped to a low of 16.5 sens before moving to a high of 71.5 sens in August 2017 to form its major wave 1. After that it started to move side way to form a complex major wave 2.

There is this possibility that the 60.5 sens low on 15 January 2018 is the end of the major wave 2.

From the 30-minute interval chart, it is possible that it has completed its mini wave 3-4 today. If it starts to move lower again tomorrow, that can be the mini wave 5 of the wave c of its sub-wave ii. It is also possible that it may drop to 60 sens again by forming 9 mini waves for this wave c of ii for a 100% retracement.

As long as Aemulus can hold above 60 sens, probability is high that it has started its major wave 3.


Sunday, January 21, 2018

Weekly Update

Dow (26,071)

Dow continued to zig-zag higher last week without a significant pullback and in the process it gave its minor wave v a magnitude that is much larger than the magnitude of its minor wave iii. Since the third wave cannot be the shortest wave, I expect the mini wave 9 to have nine minor waves instead of five.

Based on similar reason, sub-wave iii cannot be the shortest wave, wave (v) should have nine sub-waves. This is a very bullish scenario but never forget that anything can happen in stock market and the bear usually strikes at the most unexpected moment. Be prepared to run when required.

FBMKLCI (1,828)

I expect KLCI to start forming its mini wave 9 next week.

Kluang Rubber Co (M) Bhd (Rm 4.16)

Kluang is likely to have completed its sub-wave iii. Sub-wave iv is likely to take a few month to complete. Unless the last high is one degree lower.

Kuchai Development Bhd (Rm 2.22)

I have adjusted my wave count for Kuchai as I believed Kluang, Kuchai and Sg. Bagan have to move in tandem with each other and must have a similar wave form. So, same as Kluang, Kuchai is likely to be in sub-wave iv.

Sg. Bagan Rubber Co. (M) Bhd (Rm 3.36)

Similarly I have adjusted my wave count for Sg. Bagan.

T7 Global Bhd (Rm 0.515)

T7Global has completed its mini wave 4 and mini wave 5 has started.


Monday, January 15, 2018

T7 Global Bhd (Rm 0.505)

I was asked by a friend to have a look at T7Global, previously know as Tanjung Offshore, whether technically it is OK or not.

T7Global's business covers seven sectors as shown below.

For quarter ending 30 Sept 2017 its earning per share is 0.84 sen with net assets at 33 sens a share. Not that good.

But technically T7Global looked bullish. From its long-term chart, since 2008 it has formed mega wave (1)-(2), major wave 1-2 and wave (i)-(ii).

Its wave (ii) was ended at the end of December 2017.

T7Global was actively traded today with 39.6 million share changed hand. It went to a high of 53.5 sens before ended the day at 50.5 sens gaining 5.5 sens or 12%.

Today it started its mini wave 3 with a big gap and with a Bang. Unfortunately it did not closed at its peak.


Sunday, January 14, 2018

The Stars - The Three Musketeers of Lee Thor Seng Family

Within the top 5 gainer stocks on Friday, 3 of them, namely Kluang, Kuchai and Sg Bagan belong to Lee Thor Seng. The remaining two are the high price Panasonic (Rm 38.98) and Nestle (Rm 104.00).

Kluang (Rm 4.60) gained 95 sens (+26.03%). Kuchai (Rm 2.28) was limit up gaining 52 sens (+30%). Sg Bagan (Rm 3.85) gained 61 sens (+18.83).

The catalyst is the impending listing of Great Eastern Life Assurance (M) in Malaysia to comply with Bank Negara's ruling that required all insurance companies to have at least 30% local equity participation by 30 June 2018.

Kuchai has 3.032 million share of Great Eastern Holding Ltd (GEHL), the parent company of Great Eastern Life Assurance (M) and Sg Bagan has 1.733 million shares of GEHL.

GEHL is estimated to get about Rm 4.1 billion from this 30% disposal of Great Eastern Assurance (M) and is anticipated to declare a bumper dividend to reward its shareholders.

On Friday GEHL closed at S$30.53 or Rm91.60.

Kuchai's 3.032 million shares of GEHL is worth Rm 278 million and Sg. Bagan's 1.733 million share of GEHL is worth Rm 159 million. Kluang doesn't have any direct holding on GEHL but it is holding 45.25% of Kuchai and 43.40% of Sg Bagan.

Sg Bagan has 6.46% of Kluang and 12.19% of Kuchai and Kuchai has 27% of Sg. Bagan and 3.16% of Kluang.

I have written somethings on Kluang  on 17 February 2017. Click 'One of the most undervalued stocks' for the article.

Kluang Rubber Co (M) Bhd (Rm 4.60)

Kluang's stock price surged on Friday by 26% to form the sub-wave iii of wave (i) of major wave 3 of its mega wave (3).

With net assets at Rm 10.70 I still considered Kluang at Rm 4.60 as very cheap. Its 45.25% of Kuchai and 43.4% Sg Bagan alone is worth Rm 238 million or Rm 3.70 a share. Its Rm 270 million cash as reported in its last quarterly report (30 Sept 2017) is equal to another Rm 4.28. These two items alone is already worth Rm 7.98

Kluang has other available for sale investment as shown in its annual report.

For its quoted shares outside Malaysia, the value stated is Rm 333.5 million (another Rm 5.29 per share). And I suspect the current fair value for these quoted shares can be much higher than the stated value.

But once the current excitement is over, as I have mentioned in my February 2017 posting, holding this stock can be quite frustrating as its share price can remain flat for months.

Kuchai Development Bhd (Rm 2.28)

Kuchai closed limit-up on Friday. Will there be another limit-up on Monday? I don't know. Friday's surge is the sub-wave v of wave (i) of its major wave 3 of mega wave (3). The question here is whether sub-wave v has ended? If not, how high it can go to form its wave (i)?

Sg Bagan Rubber Co (M) Bhd (Rm 3.85)

Sg. Bagan surged in tandem with Kuchai and Kluang on Friday. Before the current up, it has completed its mega wave (1)-(2) and major wave 1-2. The surge marks the starting of its major wave 3.

Priceworth International bhd (Rm 0.295)

Pworth continues to form the sub-wave iii of its wave (v). My target for this sub-wave iii is Rm 0.38, another 28% to go.

FBMKLCI (1,822)

KLCI has just completed its mini wave 8. On whether the current run-up is the sub-wave iii or wave (iii), please refer to my previous posting on KLCI.

Dow (25,803)

Dow is about to complete the minor wave v of its mini wave 9. This is a possible point to start the anticipated 15% correction, the major wave 8.

However it is also possible that Dow may extend its current run-up with mini wave 9 having 9 minor waves instead of 5

Or it can also have 9 sub-waves for its wave (v).

The reality is Dow has reached a crucial junction but which routes it will follow only God can tell. That is why the markets can exist.