Weekly Update

Dow (25,928)

Dow is about to complete its wave ii of D.

FBMKLCI (1,643)

Not much changes, KLCI will continue to form its wave v of C of its mega wave (6).

Inari Amertron Bhd (Rm 1.57)

If Inari can move higher next week, it will complete its wave B very soon.

But if Inari continues to move side way, it is going for a-b-c-d-e wave ii.

Insas Bhd (Rm 0.76)

Insas continued to move lower last week, extending its wave ii to a lower end. I have no choice but to bear with it.

Sapura Energy Bhd (Rm 0.335)

To my disappointment, in the last 5 trading days, the price of Sapnrg dropped below the neckline of a potential 'Head and Shoulder' reversal pattern. With that Sapnrg now has two possible options. The wave iv formation that I mentioned last week is one option

Another possible option now is that the current wave iii is going to have nine mini waves instead of  five. Sapnrg is forming its mini wave 7 of iii at this moment.

Advance Synergy Bhd (Rm 0.14)

ASB is about to complete a potentially very bullish 'overlapping 5-advancing waves' pattern.

The latest example of this bullish pattern formation is WTK as shown below.

The long term 20-Year chart of ASB has a bullish wave count accompanied by a bullish OBV. After hitting bottom in 2009, ASB has formed its  mega wave (1)-(2) and major wave 1-2. The 10.5 sens low recorded on 2nd and 3rd of January is likely to be the end of its major wave 2.

It is highly possible that since early January, ASB has already started forming its major wave 3. At last Friday closing price of 14 sens, ASB has already gained 33% since its low in January.
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Weekly Update

USD/MYR (4.0645)

USD/MYR continues with its wave iii of C formation.

From the daily chart it is forming the mini wave 7 of its wave iii. Still a long way to go if I am looking at Rm3.50 to US$1.00 as the end of the current wave iii.

Dow (25,502)

Dow plunged 460 points (-1.77%) on Friday on global growth fear. Weak economic data signaled that global economy's growth is slowing. More drops are needed to complete the wave c of ii of D before Dow goes for the next surge, the wave iii to complete its wave D at around 27,000 level.

The question is whether Dow will punch through its ceiling in its next surge? Technically very unlikely as wave C has only three waves but never try to rule out the impossible in stock market.

FBMKLCI (1,666)

KLCI's 21 points drop on Thursday has made me to question whether wave iv of C has ended? But if KLCI continues to drop next week, I have no choice but to accept the fact that wave v of C is in progress and it is difficult to explain why wave iv has five mini waves instead of three.

Inari Amertron Bhd (Rm 1.61)

Inari is either has completed its wave ii and is currently forming the wave iii of B

Or it is going to have another wave e down to complete its wave ii of B before starting its wave iii of B.

Insas Bhd (Rm 0.78)

I am not sure whether Insas has completed its wave ii,

Or it is still struggling with its wave ii.

Sapura Energy Bhd (Rm 0.345)

If Sapnrg can keep its share price above the 'neckline' of its inverted 'head & shoulder' next week and is able to move higher after retesting the neckline, then this can be a classical case for 'head & shoulder'.

Sinmah Capital Bhd (Rm 0.215)

If SMCap can continue to move higher next week, it will confirm the very bullish wave i-ii, 1-2 formation. The uptrend that started on Friday with 1.5 sens gain will be the starting of wave 3 of iii.

But if SMCap starts to move lower in the next two weeks with five mini down waves i-ii-iii-iv-v, then it is forming an expanding triangle a-b-c wave ii.

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UEM Sunrise Bhd (Rm 0.845)

A friend of mine that has been holding many UEM Sunrise shares for quite some times has asked for my technical view on this stock. UEM(S) gained 1.5 sens today with 827,000 shares traded.

From the long term chart, UEM(S) reached its peak of Rm3.60 in 2013. From its 2013 peak to its October 2018's low of 63 sens, it formed a A-B-C corrective wave (2). It is highly possible that UEM(S) is on its new up-trend cycle starting from October 2018's low of 63 sens.

From its 1-Year chart as shown below, UEM(S) has formed a 'Double-Bottom' reversal pattern.

So far it has completed its wave i-ii with a 100% retracement for its wave ii. Its mini wave 1 was unable to break the neckline but the momentum of its mini wave 3 was able to punch through the neckline together with an OBV breakout.

Mini wave 4's drop to retest neckline support was rather classical.

Wave iii has a minimum target of 96 sens. But if the price can punch through the 96 sens level, I will expect the 96 sens level to become the support level for its wave iv correction later on.

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weekly Update

USD/MYR (4.0915)

Malaysia ringgit continues to form the wave iii of its wave C. Hopefully it can reach Rm 3.50 to US$1.00 by early next year.

From its weekly candlestick chart, USD/MYR completed its wave ii by end of November 2018 and since then it has completed five minor down-wave i-ii-iii-iv-v to form its mini wave 1. It is likely to take another 2 to 3 week to complete the mini wave 2 before starting its mini wave 3 that is likely to see the Ringgit to go to below Rm4.00 to 1USD.

Dow (25,848)

Dow is either on its way to complete its mini wave 7 and its wave D at 27,000 level.

Or it is at its wave ii consolidation at this moment before another surge, wave iii to complete its wave D at 27,000 level.

Another possibility is the bullish option that I mentioned previously as unlikely - Dow punches through its ceiling and continues to set new record highs all the way up north. In stock the unlikely do happen once a while.

FBMKLCI (1,680)

KLCI continues with its wave iv formation. It will start its wave v of C when Dow is forming its wave E of 8.

Inari Amertron Bhd (Rm 1.51)

Inari is about to complete its wave c of ii. The next up will be the wave iii of B.

Insas Bhd (Rm 0.775)

The next up-leg for Insas can either be the wave iii,

or it is the wave b of ii.

Sapura Energy Bhd (Rm 0.365)

Sapnrg managed to punched through the neckline of its inverted 'Head & Shoulder' last week, technically it is forming its wave iv with a target price of 60 sens.

Bumi Armada Bhd (Rm 0.19)

It is possible that Armada is forming its wave iii at the moment. Hopefully it can go above its previously high of 25 sens next week.

Pinehill Pacific Bhd (Rm 0.335)

If Pinepac can punch through its upper trend line and can move higher than its wave i's high of 54 sens, then it has started its wave iii.

Failure which, it will continue to move side way forming its wave ii with another X-a-b-c kind of corrective waves.

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Sapura Energy Bhd (Rm 0.34)

Sapura Energy gained 1.5 sens today to close the day at 34 sens with a volume of 37 million.

After hitting a high of Rm 4.90 at the end of December 2013, its stock price has been moving in a down trend direction for 5 years forming a possible A-B-C mega wave (2) corrective wave. It dropped to an intra-day low of 25.5 sens on 31 January 2019 to provide a possible end to the wave iii of its wave C of (2).

It is possible that it has started the wave iv with strong volumes since the beginning of February.

The mini wave 2 of iv appeared to provide the right shoulder of a possible inverted 'Head and Shoulder' reversal pattern. Its closing price at 34 sens today rested exactly on the neckline of the inverted 'Head and Shoulder'. If it can move above the neckline tomorrow and can continue to move higher, this wave iv has a possible target of 60 sens before it price starts to move down again to complete its last wave v of C of (2).

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Impression

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What they said

Another boring week.

Dow (25,450)

Dow dropped continuously for five days from 26,026 to 25,450 for a 576 points drop (-2.2%). If Dow can start to move higher next week then the drop so far could be the mini wave 6.

But if Dow continues to move lower next week for a higher degree pullback, then the current correction can be the wave ii of its wave D.

During the next surge after the current pullback, the interesting question is whether Dow will stop at 27,000 level and will begin its steep 22% plunge to 21,000 level or it will punch through its ceiling and continue to move higher into record territories?

I wouldn't like to rule out this possibility but it will be hard for me to explain why wave C has only three waves instead of the normal five waves. Isn't Dow going for a classical 3-3-3-3-3 expanding triangles?

FBMKLCI (1,679)

KLCI is expected to move in tandem with the Dow. If Dow were to form its wave D and E, KLCI will follow with a wave iv and v to form its mega wave (6).

And If Dow can punch through its ceiling at 27,000 level and go higher, the wave count for KLCI will take the following form in forming the wave (iii) of its major wave 5 of its mega wave (5).

Inari Amertron Bhd (Rm 1.67)

Inari is expected to have a small wave c pullback to complete the wave ii of B.

Insas Bhd (Rm 0.78)

Insas is currently forming its wave ii. It can either be a straight down wave ii

or it can be a 'a-b-c' wave ii.

Pinehill Pacific Bhd (Rm 0.32)

After announcing its 8,999.13 acres of land sale to United Plantation Bhd for Rm 413,574,302.49 on 21 September 2018, Pinepac's stock price shot up from 14 sens to as high as 69 sens. Since then its price started to move side way forming a 3-3-3-3-3 a-b-c-d-e corrective wave ii. If Pinepac can either start to move up from here to form its wave iii

And of course it can also continue its side way consolidation with a 'X-a-b-c' or 'X-a-b-c-d-e'.

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