Olam breaks out of its 8-month consolidation; CAO closes above its 50D SMA (3 Dec 24)

Dear all It has been an extremely hectic couple of months. Markets have been extremely buoyant and I have been swarmed with trades, meetings and trips. If only, I have another pair of hands. šŸ™‚ Anyway, just a short technical note on two companies, namely China Aviation Oil (CAO) and Olam which have seen bullish developments in their charts. Ā  A) CAO closes $0.01 above its 50D SMA, first since 5 Nov CAO is interesting as the increase in the share price in the past three days was accompanied with an increase in volume. CAO closed at $0.910, accompanied by […]

Markets hit by selling pressure. Is it time to BUY? (23 Oct 23)

Dear all It has been some time since I last wrote an article on market outlook. I have been extremely busy for the past three months where I have been meeting companies and other associates. (Check out my LinkedIn HERE). I have also just arranged an exclusive meetup with Lendlease Reit Manager CEO, Kelvin Chow and Head of Investor Relations, Ling Bee Lin with my clients last Friday. (Click HERE).Ā As of last Friday, Lendlease Reitā€™s market capitalisation is around S$1.16b. With reference to Chart 1 below, October continues to see the third monthly outflows of funds from China equity markets. […]

Nasdaq has soared 14% in 1 month! Should we chase this rally? (30 Jan 23)

Dear all It has been a busy January. As you are aware, I have kept my powder dry by taking it slow and easy in Dec and have taken some opportunistic positions amid the sell-off in Dec. Just to recap, with reference to my writeup published on 3 Dec (click HERE), where I mentioned that I am taking it slow and easy in Dec, S&P500 and STI fell by 5.9% and 1.2% respectively in Dec. In fact, S&P500 registered the worst Dec performance in four years. However, Hang Seng was still very resilient and jumped 6.4% in Dec on continual […]

Numerous trading opportunities as Singapore corporates report results (9 Aug 2022)

Dear all, Happy National Day! How has your portfolio been year to date? With reference to my writeup published on 3 Jul 2022 (click HERE), I mentioned that there are likely to be opportunities in the next few weeks. Post my writeup, S&P500 touched an intraday low of 3,722 on 14 Jul before closing up 418 points or 11.2% at 4,140 yesterday. In fact, S&P500 posted its best monthly gain in July, since Nov 2020. STI touched an intraday low of 3,088 on 15 Jul before trading up 183 points or 5.9% at 3,271 yesterday. Our Singapore banks started to […]

Markets – diverging signs from technicals and fundamentals. What should we do? (4 Apr 2022)

Dear all March has been a roller coaster month. Hong Kong market, represented by Hang Seng index touched multi-year lows around 14-15 Mar and has rebounded approximately 21% from the intraday lows. S&P500 performed well too with a third consecutive weekly rise. With reference to my writeup (click HERE) published on 6 Mar 2022, I mentioned that a) Odds are likely of a downward push first I mentioned that based on chart, odds are higher for a downwards move for both S&P500 and STI, to retest the previous support around 4,115 ā€“ 4,222 and 3,138 ā€“ 3,200 (with 3,175 a […]

Markets may continue to be volatile but also present valuable opportunities ahead (6 Mar 2022)

Dear all We are two months into 2022. How is your portfolio doing? With reference to my writeup (click HERE) published on 17 Feb 2022, I mentioned that STI is likely to face headwinds in the near-term and SG banks’ share prices are likely to peak around 7-18 Feb based on past observations. Ā  Coincidentally a) STI peaked on 17 Feb. In fact, STI has tumbled 6.9%, or 239 pts from its intraday high 3,466 on 17 Feb to close 3,227on 4 Mar. Last Fridayā€™s intraday low was 3,208. More about its chart below. b) Banks – DBS peaked on […]

GSS Energy – Electric mobility business takes shape (25 Jan 22)

Dear all, With reference to my write-up published on 5 Jan 2022 (click HERE) citing that Asian indices are likely to outperform that of the U.S. market in 2022, our Asian indices, viz. Hang Seng and STI have outperformed the U.S. market significantly (See Table 1 below). U.S. S&P500 notched a 6.4% decline whereas Hang Seng and STI registered a 9.0% and 4.2% gain respectively since my write-up. Table 1: S&P500, Hang Seng and STI 2021 performance since 5 Jan 2022 Source: Ernestā€™s compilation Given the outperformance, are there still pockets of opportunities in our Singapore market? The short answer […]

GSS Energy looks interesting; key level for potential bullish breakout is at $0.075 (27 Sep 2021)

Dear all Of late, GSS Energy (ā€œGSSā€) has caught my attention. It has dipped from an intraday high of $0.083 on 17 Sep 2021 and has weakened to $0.072 on 24 Sep 2021. This weakness may be attributed to profit taking and contra players exiting or rolling their positions. 24 Sep is T+5 of its high-volume day on 17 Sep. My personal guess is that most of the contra players may have already exited (i.e., selling may have been largely exhausted). It may be time to relook into GSS Energy. Letā€™s take a look. Ā  Basis a) E mobility business […]

Wilmar ā€“ Is this a good time to accumulate? (2 Sep 2020)

Wilmar recently caught my attention. It has fallen approximately 11% from an intraday high of $4.95 on 7 Aug 2020 to close $4.41 on 1 Sep 2020. SixĀ points attracted me to Wilmar. Letā€™s take a look. 1. Imminent catalyst i.e YKA IPO ā€“ left one approval to go Wilmar cited that its Chinese subsidiary, Yihai Kerry Arawana Holdings Co., Ltd (ā€œYKAā€), has obtained listing clearance from the Shenzhen Stock Exchange (ā€œSZSEā€) ChiNext Board Listing Committee (the ā€œCommitteeā€) and has submitted the updated prospectus to the China Securities Regulatory Commission (ā€œCSRCā€) for final registration approval for listing on SZSE ChiNext Board […]

China Aviation ā€“ chart looks bullish amid analyst buy calls; below average valuations, supported with 3.6% dividend yield (3 Jan 2020)

Dear readers, Happy New Year! Hope your new year has been great. Market has been extremely interesting for the past couple of months. Recently, China Aviation (ā€œCAOā€) caught my attention with its bullish chart and looks interesting on a risk to reward aspect. CAO closed at $1.30 last Fri. Day range was $1.29-1.32. Read on for more. Ā  Why did CAO catch my attention? a) Average analyst target price $1.70 With reference to Figure 1 below, average analyst target is around $1.70. Together with an estimated dividend yield of around 3.6%, CAO offers a total potential return of around 34%. […]