Two stocks’ charts to take a look ahead of this results period

1. Sing Shipping: Last done S$0.340. No rated analyst report yet. Based on Chart 1 below, Sing shipping has been consolidating between S$0.325 – 0.350 since 13 Apr 2015. Upcoming developments are: a) AGM 30 Jul 2015; b) Based on historical trend, 1QFY2016F results should be released on the same day of AGM, probably after market; c) Ex div of S$0.01 / share on 5 Aug 2015; d) Please refer to my writeup for more information. Near term supports: S$0.340 / 0.335 / 0.325 Near term resistances: S$0.350 / 0.360 / 0.375 – 0.385 Chart 1: Sing Shipping has […]

Takeaways on QT’s proposed US$13.14m convertible bond issue (26 Jul 15)

Background On 24 Jul 2015, QT said that it is proposing to issue up to US$13.14m of convertible bonds (“CB”) to strengthen its financial position and allow it to focus more resources on developing its Drug Coated Chocolate® platform further. The CB proceeds may also be used for payment of litigation costs and expenses incurred with the ongoing litigation by AngioScore, Inc. (“Angioscore”), provided that no Bonds proceeds shall be utilised for the payment of any final damages (if) awarded to Angioscore by a court of final judgement. [Please refer to SGX announcement dated 24 Jul 2015 for more details.] […]

Singapore Shipping – poised for a chart breakout?

Singapore Shipping caught my eye while I am doing the usual chart screening. Based on Chart 1 below, Singapore Shipping has been trading between $0.325 – 0.350 since 13 Apr 2015. ADX has been strengthening since 24 Jun 2015 and it is now around 31.1, indicative of a trend. All the exponential moving averages (“EMAs”) are rising which represent a strong uptrend. Indicators such as MACD, RSI have strengthened since 13 Apr 2015. As a result, odds are higher for an upside breakout from its three month trading range $0.325- 0.350 in the next couple of months. In the event […]

Cheung Woh – A forgotten gem?

Recently, one of my buddies invited me to Cheung Woh’s (“CW”) company presentation at Financial PR (“FPR”). Given their good set of FY15F results vis-à-vis FY14 and FY13, I decided to attend as there may be interesting updates from the company. Mr Law Kung Ying, Chairman of CW (“Management”) and FPR hosted the meeting. Firstly, what does CW do? CW was founded in 1972 and has been listed on our Singapore Main Board since Dec 2002. Readers can refer to Figure 1 below and their company website for more information. Figure 1: CW – in a nutshell Source: Financial […]

Ernest’s market outlook 20 Jul 2015

Dear all Despite the recent headwinds caused by Greece and China, Asian markets as measured by the MSCI Asia Pacific have performed well last week. Here are the technical analyses on the charts. S&P500 chart During the height of the worries on the market slump in China and Hong Kong and the concerns on Greece, S&P500 only traded within a 40 point range between 2,044 – 2,084 from 30 Jun 2015 – 10 Jul 2015. I have previously mentioned to my clients that S&P500’s critical support was around 2,040 – 2,052. Fortunately, the support held and S&P500 rebounded from there […]

My comment in Bloomberg for SGX trading disruptions

Dear readers, My comment was featured in Bloomberg on 25th June 2015. Singapore Exchange Ltd. will pay S$1 million ($743,000) into an education fund after two trading disruptions earned a reprimand from the city-state’s regulator and a bar on raising fees until fixes are cleared. “The disruption is very bad for the reputation of SGX as it struggles to revive stock-trading volumes,” said Ernest Lim, a trader at CIMB Group Holdings Bhd. in Singapore. “They should have robust backup systems to minimize future disruptions. You can read the full article here.