Umno on its way to extinction

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Weekly Update

Dow (24,271)

Very likely Dow is forming its major wave 8, an estimated 14.5% correction.

FBMKLCI (1,691)

I am still no very sure whether KLCI has already completed its major wave 5.

Or it still has one last kick to complete its major wave 5.

I usually would prefer not to talk about individual stock when I am having the idea that the overall market is due for a major correction. When there is a major shake out, the chart form of stocks will change. But whatever new forms that can develop, the new forms will be able to fit into one of the possible Elliott's wave forms. Elliott theory followers' interpretations can be wrong but Elliott wave theory is always right.

One of my follower has asked for my view on Inari and Insas as I have not mentioned about them for quite sometimes.

Based on the current market condition when there is no confirmation that the big bear is definitely coming and Dow is still has one more major wave 9 to go and that can easily take more than 12 months to complete with a target level of 35,000. That is another 10,000 points to go from its current level.

Assuming KLCI can continue to drift for sometime (do remember that I can be totally wrong), my reading for Inari and Insas remained more or less the same as my previous reading.

Inari Amertron Bhd (Rm 2.26)

Inari has completed its major wave 8 and is forming its major wave 9.

And if the mega wave (1) has more than nine waves, the next correction ca be the major wave 10 pullback instead of the mega wave (2) correction.

Insas Bhd (Rm 0.875)

The major wave 4 appeared to be 'deep' and has overlapped into major wave 1. But if Insas can move higher all the way up from its current level, it is possible that it has finally started its major wave 5.

But I cannot rule out the possible manipulation by the big fish to push the price lower to frustrate all the small investors so as to buy the stocks cheap cheap from them. The OBV divergence is an indication of strong accumulation. If they have not complete their accumulation's target, they may continue to push it lower to Rm 0.60 level to form a big A-B-C mega wave (4). (Big fishes have chart analysts to advise them too).

I personally feel that Insas at its current level of Rm 0.875 is too low when Inari is at Rm 2.26. No doubt its latest quarterly earning has dropped to 1.2 sens a share, but with Net Assets at Rm 2.47 a share and its is holding 600 million shares of Inari, that is about 0.95 share of Inari (worth Rm 2.14) for 1 Insas share.

By paying Rm 0.875 to buy one Insas share, you are actually buying 0.95 Inari share plus Insas other businesses and assets in Malaysia, Hong Kong and Singapore.

But my daughter, a banker, said to me once, "Papa, you cannot count like that" when I bought Batu Kawan and she bought Kuala Lumpur Kepong (KLK) many years ago, and she made more money than me.

Even you look at B. Kawan (Rm 17.90) and KLK (Rm 24.16) today, their respective stock prices are ridiculous to me. In every 1 B. Kawan share there are 1.25 KLK shares (B. Kawan with 400m shares is holding 500m shares of KLK). B. Kawan last quarter earning is 27.32 sens with NTA at Rm 15.87 whereas KLK quarterly earning is 17.80 sens with NTA at Rm 10.40. The only thing that I can say is - don't try to reason with stock.

Another stock with ridiculously low stock price is Kluang, a small plantation stock with 63 million shares that has 1,596 acres of oil palm plantation in Kluang. Its latest quarterly earning is 3.85 sens a share. Net assets is Rm 10.69. Cash per share is Rm 4.06. Investment per share is Rm 7.85 excluding its holding of 43.4% Sg. Bagan and 45.25% of Kuchai. Kluang is selling at Rm 4.20 on Friday with no taker.

Volchkova Yulia Anatolievna

Who is this beauty? Have you heard this name before? Is she a model? An actress? You can try to guess but it is unlikely that you will get it right.

She is a street artist, a mural painter.

You can see some of her murals in Penang.

In an interview by Sami Wakim, who is the founder and editor of Street Art United States, an online community that supports street artists, this is what she said about herself :

"Hello, my name is Julia Volchkova. I'm from Siberia. Drew from childhood, had professional art education, and studied classical paintings and portraits. I always wanted to do something big, to draw a huge portrait. Unaware of Internet, I had no idea of the existence of graffiti, stencil, and street art. I discovered it through the street artists in my country. And I began to learn more. I picked up the first spray can at 18. We would draw in the summer as it was very cold in Siberia. And it was only one month in the year. After graduating from college at the age of 23, I went to St Petersburg. There I started actively and constantly drawing. I was unstoppable! Huge walls were pulled and I was dreaming. It was like an obsession."

For the full interview by Sami Wakim, click 'Interview : Julia Volchkova'.

In 2014 she was invited to draw mural in George Town Penang. Her first piece of work was a black and white mural, the 'Child at Prangin Canal', completed on 6 April, 2014.

Due to great interest generated by this mural, Julia was invited back to George Town to do another mural on the side wall of the old Clockwise Hostel, a guesthouse on Stewart Lane, which is within the core zone of the George Town UNESCO World Heritage Site.

This is the famous 'Indian Boatman' completed on 14 June, 2014

She continued to stay in Penang for several months to complete her other works in George Town and Balik Pulau at the invitation of Penang Island City Council.

Silat Master (Balik Pulau)

Old Fisherman (Balik Pulau)

Dancing Hakka Girl (Balik Pulau)

Old Indian Woman (Lumut Lane George Town)

Her first mural in Kuala Lumpur is the 'Goldsmith' at Jalan Panggong near Petaling Street. She took 5 days (21st to 25th April 2016) to complete the mural.

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Bearish.

Asian stock markets continued to go lower on Monday as the world braces for a new round of US-China trade war. Jakarta Composite Index is the only exceptional one.

Until Monday's closing most of the Asian markets have dropped about 10% or more from their respective 2018's high.

Malaysia

Singapore

Indonesia

Thailand

Hong Kong

China Shanghai

Philippines

South Korea

Philippines PSE index dropped the most with 22.87% followed by China Shanghai SSEC index that dropped 19.64%. Compared with these two markets, the Malaysian market has performed much better with FBMKLCI dropping only 11.45%.

For Malaysian market, my main question here is whether the big bear market has already started or we still have one more surge, the last kick.

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Weekly Update

Dow (24,580)

For the week just ended, Dow was affected by the escalating tariff war between the US and China and it moved lower from Monday to Thursday with a technical rebound on Friday.

If Dow has ended its major wave 8 in May, it is possible that Dow is forming its wave (ii) at this moment.

But it is also possible that Dow is forming a complex major wave 8 of ABCDE-X-ABC at this moment in view of the tariff wars. That means major wave 9 has not yet started. Dow needs more time to complete its X-ABC.

FBMKLCI (1,692)

KLCI dropped in tandem with the Dow in the last 5 trading days and completed its sub-wave v in the process. The coming rebound can either be the wave (ii) as shown,

Or KLCI has just completed its wave (iv) and has another wave (v) to go before going for its major correction.

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Someone up there made it happen

Continues to drift 

Blur blur or continues to act

Most Malaysian can see clearly except a bunch of monkeys that see, hear and speak no evil.

An army sent by someone up there to do the job

A job well done

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What is going on in PKR?

While Dr. Mahathir and others are working overtime clearing all the shits left behind by the BN administration and everybody is trying their very best to put the house in order within the shortest possible time.

I guess the ex-UNMO members with their UMNO's DNA are too free and at the same time too busy thinking of their own interest.

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