Weekly Update

Dow (25,964)

Dow managed to pull away with a small gap to form a minor wave iii on last Monday. Even though it was followed by 4 days of consolidation, but the pattern was more bias towards a yet to finish major wave 7.

FBMKLCI (1,819)

If KLCI can move in tandem with the Dow, it is expected to set more record highs in the coming months until next year in the course of completing its major wave 5.

But the problem with KLCI is when Dow plunged, KLCI would plunge together. But when Dow has a rally, KLCI may or may not follow, due to the many problems facing by the PH government. It is possible that KLCI can move in an opposite direction to the bullish Dow in the medium term to complete the wave C of its mega wave (6) until the new government has sorted out problems left behind by the BN government.

Inari Amertron Bhd (Rm 2.24)

If Inari can move higher from its current level, its current correction is likely to be the sub-wave ii of its major wave 9.

But if Inari starts to move lower and lower from its current level. It is highly possible that the major wave 9 has already been completed forming a 'double-top' reversal pattern.

Insas Bhd (Rm 0.845)

I am still keeping my fingers crossed waiting for Insas to complete its major wave 5.

By comparing the price movement of Inari and Insas, one can see that even though each Insas share has 0.95 Inari share, but it hardly moved in tandem with Inari.

Since 2013, Inari has gained 1,300% by 2018 whereas Insas has gained less than 100% from 2013 to 2018.

Both Inari and Insas have announced their respective quarterly result last week. Insas EPS is 1.04 sens with net assets at Rm 2.49 a share. Inari EPS is 1.80 sens and net assets at Rm 0.33 a share.

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