SMRT Corp 4Q Net Profit fell 41.4%!

On 30/Apr, Singapore shares ended higher Friday as solid earnings reports from Wall street overnight lifted major stock in Hong Kong & Singapore. 

STI ended 15.6 points (0.5%) higher at 2974.61 points with 1.82 billion shares traded compared with 1.9 billion Thursday. In the broader market, gainer outnumbered loser 295 to 190.  Without any clear indication on where the market is heading, most investors cautiously stay at the sideline based on the decreasing VOL.

"Concerns over Greece have eased somewhat, but there's hardly any catalyst right now to engage buyers," said a dealer at a local brokerage, adding that trade was "fairly quiet" ahead of the earnings announcements of banks, Singapore Technologies Engineering and Sembcorp Marine next week.

Today SMRT increases 0.9% to close at S$2.28 with 3.19 million shares traded, as investors estimated strong earnings among better economic conditions and higher tourist arrivals due to the opening of Singapore's two casino-resorts. 

However, after the market closed, SMRT announced that its fourth-quarter net profit fell 41.4% due to lower operating profits and higher income tax expenses.

SMRT blames on the volatility in oil prices and termination of government budget measures announced last year.

Important Resistance of SMRT: $2.28

Immediate Support of SMRT: $2.20

RSI: In bullish zone of 74% (Oversold)

MY sentiment on SMRT: Many investors expected good earning results from SMRT instead their profit falls. Expected SMRT to slump next Monday but at min impact since SMRT belongs to “defensive” stock.

Stock correction unlikely to start in this week!

On 29/Apr, Singapore shares ended higher Thursday among major Asian share markets which ended mostly lower as concerns about Standard & Poor's downgrade of Spain's sovereign ratings by one notch Wednesday.

STI ended 26.97 points (0.9%) higher at 2959.01 points with 1.9 billion shares traded compared with 1.7 billion Wednesday. In the broader market, gainer outnumbered loser 276 to 186. Though today VOL is higher but it is largely contributed by the high demand for Genting after the counter got upgraded by CIMB and Deutsche Bank.

Still, the short-term technical outlook for Singapore shares remains "somewhat murky" with Greece's debt problems still expected to pose risk, according to a Phillip Securities note to clients. "It would take a close above 3000 (for the STI) at this point for us to consider if risk appetite is coming back."

Today Genting closed 8.7% higher at S$0.94 with EXTREMELY HIGH VOL of 0.34 billion shares traded. This move comes after the upgrade of the stock by CIMB and Deutsche Bank.

Important Resistance of Genting: $0.97

Immediate Support of Genting: $0.835

RSI: In bullish zone of 62%

MY sentiment on Genting: This counter creates a very strong upside move today but $0.97 will be a strong resistance and profit taking may come along the way. Do not encourage to enter at this point of time.

MY sentiment on STI: Ground getting shakier as investors is unclear of the market situation but we are not too worried as to have a correction starting in this week. Just hold your ground and prepare to sell in MAY.

Market Watch: Sands Bets Big on Singapore Casino

A few months late and a couple of billion dollars over budget, Sands' new Asian flagship opens its doors. Dow Jones Newswires' Sam Holmes reports.

Chartzones: CH offshore!

CH offshore business: Marine support SCV provider for oil and gas industries

CH offshore is laggard therefore these small cap may rise only after blue chips such as keppelcorp has increased in prices.

Important Resistance of CH offshore: $0.74

Immediate Support of CH offshore: $0.615

RSI: In bearish zone of 44% 

MY sentiment on CH offshore: Wont trade this stock for the time being since range bound. Will look out to buy if prices break above $0.74 at HIGH VOL BUT will sell if support at $0.615 break as well.

By the way, we will be accepting charts analysis request from readers. Pls request through the chat box and we will do it if possible.

Panic sell off but market sentiment still positive!

On 28/Apr, Singapore shares ended lower Wednesday as concerns regarding sovereign debt problems may broaden in Europe hit financial and resource stocks across the board.

STI ended 59.64 points (2%) lower at 2932.04 points with LOW VOL of 1.7 billion shares traded compared with 1.76 billion Tuesday. In the broader market, loser outnumbered gainer 469 to 97. Though the SELL DOWN was broad-based with STI closed at 2% lower but the LOW VOL indicated that the selling pressure is not great due to the continued high expectation of strong local earnings ahead.

"I suspect the major global economic powers will not let problems with (the affected Eurozone nations) destroy the fragile economic recovery that has been created," NRA Capital chairman Kevin Scully said

Today India's Bharti Airtel Ltd announced 8.2% fall in net profit for the fourth quarter caused by cut-throat competition in the world's fastest growing telecommunications market.

This news affected Singapore Telecommunications Ltd which owns about 32% of Bharti Airtel to close at $3.01 (2.6%) lower with HIGH VOL of 28.3 million shares traded. Singtel has been losing momentum since reaching 6-month high of S$3.29 last month partly due to concerns over prospects for associates such as India's Bharti, which faces stiff competition in its home market.

Important Resistance of Singtel: $3.08

Immediate Support of Singtel: $2.96

RSI: In bearish zone of 33%

Profit taking at low volume for STI today!

On 27/Apr, Singapore shares ended lower Tuesday with China stocks weighed by concern that Beijing may launch harsher measures to cool property prices.

STI ended 10.94 points (0.4%) lower at 2991.68 points with LOW VOL of 1.76 billion shares traded compared with 2.05 billion Monday. In the broader market, loser outnumbered gainer 350 to 184.  Overall STI got affected by the overnight loss of Wall Street and pulled back at LOW VOL. There is nothing to worry about for the time being since STI seems to be supporting itself well at just below 3000 over past few days.

"Clearly, it's a bit more challenging right now given the uncertainty about policy tightening and a variety of global factors," said DBS Asia strategist Joanne Goh in Singapore, noting China's property-sector tightening measures, the Goldman Sachs probe and U.S. financial-sector reform proposals.

Today Hyflux grew 1.8% to close at $3.46 with HIGH VOL of 17 million shares traded (7 times average VOL) after Minister for Environment and Water Resources Yaacob Ibrahim has reiterated that Singapore will not renew its water contract with Malaysia when it expires in 2011. This is one of the two water contracts the Republic has with Malaysia on Tuesday.

However due to the lack of confirmation from Hyflux to support the rally, it’s finally close at $3.46 forming a LONG UPPER SHADOW. This is not a good sign for Hyflux as profit taking will be expected in the next few days unless there is some news to support this evidence.

Important Resistance of Hyflux: $3.55

Immediate Support of Hyflux: $3.37

RSI: In bearish zone of 46%

My sentiment on Hyflux: Not so much we can do now. But do monitor the open price of this counter tomorrow if you are already vested in this counter.

Market Watch: Keep a Bucket Handy!

After barreling quickly to 11,000, the Dow will keep moving ahead, but slowly, according to professional investors responding to our latest Big Money poll.

Singpost says " Take it or leave it"

This is what i call " Take it or leave it", Singpost "seller" are selling at "fixed price".

Total VOL traded as of 2pm today = 1.5 Million.

Total no of stock queue to SELL at 1.10 = 3.38 Million

Total no of stock queue to BUY at 1.09 = 1.392 Million.

Basically Singpost is telling ppl that you can only SELL at $1.09 or BUY at $1.10.

Retail investor really got no chance to go against them!

Neptune Orient Lines Average Revenue For March 6-April 2 Up 12% On Year

On 26/Apr, Singapore shares ended higher Monday with exporters leading gains in Japan on the yen's recent fall and growing expectations of investors ahead of key earnings reports in this week.

STI ended 14.13 points (0.5%) higher at 3002.62 points with 2.05 billion shares traded compared with 1.73 billion Friday. In the broader market, gainer outnumbered loser 345 to 199.  Overall today STI managed to rally with average VOL but having great problem climbing further upon above 3000

Market sentiment got a boost after the DOW gains for the eighth consecutive weeks and after Greece asked its euro partners & IMF on Friday to activate a 45 billion euro support mechanism. 

"So long as U.S. stock markets remain stable, Asian markets will likely remain on the uptrend," said Taurus Investment & Securities analyst Oh Tae-dong in Seoul. 

Today at 5:30 pm after market closed,  Neptune Orient Lines Ltd. (N03.SG) reported that average revenue per forty-foot equivalent unit rose 12% on year for the March 6 to April 2 period. The average revenue for the four weeks period was US$2,622 per FEU against US$2,347 per FEU, NOL said in a statement. 

Volumes rose 32% to 204,400 FEU for the period. 

NOL believed that the increase in volume was mainly from the Transpacific and Intra-Asia trade lanes, while revenue was up due to higher core freight rates and higher bunker recovery, particularly on the Asia-Europe trade lane.

Important Resistance of NOL: $2.24

Immediate Support of NOL: $2.11

RSI: In bullish zone of 52%

My sentiment on NOL: Expect this good news to boost NOL stock price tomorrow. If there are no increase of price at open tomorrow, sell immediately will be better option.

Sell In May And Go Away? Probably right for 2010!

“Sell in May and go away” is common saying among the professional investor in the Wall Street.

"Sell in May and go away," the belief that the period from November to April inclusive has significantly stronger growth on average than the other months.  Therefore stocks are been sold at the start of May and the proceeds held in bonds or a deposit account.

The most interesting about this effect is that it shows that stock market returns in many countries during the period May-October are systematically negative or lower than the short-term interest rate, which also goes against the efficient-market hypothesis.

In addition, there are some reasons on why we should sell in May for 2010.

1)      Inflation (CPI) has increased quite a bit over the last few months in this year thus China and Singapore will likely to tighten the policy on currency or interest rates soon.

2)      By mid of May, the announcement of GDP and all company earnings report will be completed.  Without these catalysts, stock price may fall since they are mostly far too ahead of the fundamentals especially in 2010.

3)      US markets has already rally for 8 consecutive weeks without a decent pullback. Bears are just waiting for the chance to strike.

4)      Property booms have caused concerns in both China & Singapore. Both governments are likely to implement more harsh policy to curb the property prices.

5)      Many concerns on Greece, Goldman Sachs etc are yet to solve and could develop into bigger issues as times goes.

6)      Currently STI display a “RSI divergence” on the weekly charts. The price keep rally but the momentum is failing downwards.

What do you guys think? Bullish or bearish for the 2^nd quarter of 2010?

SINGAPORE Stocks Earnings Announcement Dates (25/04/10)

A flood of company will be having their quarter earning reports in the next week.Keep a lookout for them as they approaches for trading opportunities.

Market Outlook (24/04/10) Hold your cash and prepare to buy on dips!

In last week, STI lost 19 points from the opening of 3007 and close lower at 2988 to mark another bearish candlestick which is the “hanging man” in weekly chart to show signs of market reversal. The VOL in this week is LOW as well as many investors may not want to enter at this timing since the situation is unclear.  

The Fed's two-day meeting will be closed on Wednesday with a speech which is expected to be uneventful. Fed watchers do not foresee any change in the tone nor do they expect the Fed to drop its much discussed "extended period" language. 

Other important events that happen next week will be the first look at US first quarter GDP on Friday. That is the number economists have been revising for weeks and analysts estimating the growth to be around 3 percent.

In last week, Singapore has been slipping over the concerns over the China government restriction in the property sector while weaker commodity price dragged down material stocks over the Asia. The announced measures are not really harsh but the indication is strong as the China is determined to curb rising property price. All these reports created a SELL down pressure across the board especially on developers. Thus I would advise investors to keep out of developer stocks such as Capitaland, Ho Bee for next week pending for clearer directions.

Important resistance of STI: 3040

Immediate Support of STI: 2955

MY Sentiment: STI got no strength to rally but little reason to sell down as well. In short term, market favors pullback especially US market has been rally for 8 consecutive weeks since Feb without a decent pullback. Therefore hold your cash for now and prepare to buy on dips.

Volume Slows as Investors Fret!

Despite changes in tone, analysts await a resumption of "buying on the dips," suggests Barrons.com's Bob O'Brien.

Review of Asia Trader and Investor Convention (ATIC) event!

Just came back from the Asia Trader and Investor Convention (ATIC) at Suntec.

I have attended some of the Master trading/indicator sessions and really learn a lot throughout the whole day.

Here are some of the comments which the Guru said during the lesson that left a deep impression.

Don Schellenberg: "Indicators are like clutches that support the newbies in trading". "Once you are good enough, the price and volume alone will be sufficient for you to trade".

John Bollinger: "Yes, i do trade on news". "But i will focus not on the content but rather the reactions from the market after the news has been announced".

Daryl Guppy: "All of us are reading the same charts and news everyday but interpret differently based on skills". "This separates between the professional  and amateurs who is trading in the market."

Review on John Bollingers lesson

The things that he taught at the lesson are very technical which includes statistics, software programming and data analysis without explaining the fundamental part. Advance traders would gain a lot from his teaching but amateurs will not likely to explain his lesson completely. He reminded me of my university professor during my school days, John Bollingers is a clever person but unfortunately expect others to be as clever as him when he conducts his lessons

Review on Daryl Guppy lesson

The things that he taught are ways to trade and outsmarting others in the market. Generally his teaching materials are easy to understand, moreover he keep repeating the important part so that the audience could fully absorb.

His lessons are more suitable for amateurs but pro can also gain a lot from his concepts in trading. Darly Guppy is definitely one of the best "teacher" present in the Asia Trader and Investor Convention (ATIC) and i love his lessons a lot.

If you are still interested to go there tomorrow, do click here for the FREE tickets.

Otherwise you will need to fork out SGD$18 for the entry when you arrive at Suntec.

Genting expected to have small rebound after recent sell down!

On 22/Apr, Singapore shares ended higher on Thursday due to a rise in U.S. stock futures in the afternoon though weaker commodity prices dragged down commodity firms such as Olam International and Noble Group.

STI ended 13.04 points (0.4%) higher at 2980.69 points with 1.7 billion shares traded compared with 2 billion Wednesday. In the broader market, loser beat gainer 297 to 205.  Overall today rally does not serve any strong conviction with LOW VOL shares traded and broad market stocks generally falling in prices.

"Sentiment is still a bit edgy, although the pullback is well contained. There's not much at this point to turn people off in a big way, but there's also nothing much to encourage buying," says trader at local house.

Today Genting Singapore dropped 1.5% to S$0.86 with a slightly higher than AVE VOL of 64.6 millions shares traded that results in a black candle with little tail at the bottom. It is very obvious that the SELL DOWN pressure is easing and consolidation/rebound will be expected soon

Important Resistance of Genting: $0.885

Immediate Support of Genting: $0.845

MACD: Blue line in progress of crossing down.

My sentiment on Genting: Selling pressure seems to be easing. Therefore I do not expect massive SELL DOWN tomorrow. In fact I expect consolidation or maybe a small rebound on either tomorrow or next Monday unless STI falls or bad news on Genting announced. But again do look out for the support at $0.845.

My sentiment on STI: Like my above comments. No strength to go up but pullback is small in short term. Market situation is unclear but in short term favors more in pullback.

More sell down on Genting may occur again!

On 21/Apr, Singapore shares ended weaker Wednesday, continued concerns about credit tightening in China and some profit taking erased Wall Street-driven gains yesterday.

STI ended 13.72 points (0.5%) lower at 2967.65 points with 2.05 billion shares traded compared with 1.89 billion Tuesday. In the broader market, loser beat gainer 288 to 228.  Overall the pressure for “Selling down” is increasing (VOL increase) as investors starting to take more profit off the table and expecting a pullback to happen in the coming weeks.

"It's a wait-and-see game now," a trader at local brokerage said. "People are not willing to bet more, but there's also not much selling pressure."

Today Genting Singapore dropped 2.3% to S$0.87 with HIGH SELL DOWN VOL of 0.1 Billion shares trades. Investors are beginning to worry about the potential loss of market share to rival integrated resort Marina Bay Sands, which opens next week. 

Important Resistance of Genting: $0.91

Immediate Support of Genting: $0.845

RSI: Slightly bearish at 43%

My sentiment on Genting: More selling pressure will be expected as we approaches Marina Bay Sands great opening. If interested, do monitor the VOL and wait for the SELL DOWN pressure to ease before entry. Do look out for the support at $0.845 as another sell down will occur if broken.

Asia Trader and Investor Convention (ATIC) event in this weekend!

Do go to Suntec Convention for the Asia Trader and Investor Convention (ATIC) event.

Tickets are FREE (Just click this link)

Venue Location

Suntec Singapore, Hall 401
International Convention & Exhibition Centre
1 Raffles Boulevard, Suntec City,
Singapore 039593

The event will open from 0900 – 1800 on 24/April & 25/April

Background

First launched in 2006, Asia Trader and Investor Convention (ATIC) event has travelled to 7 Asian Cities, i.e., Singapore, Kuala Lumpur, Bangkok, Ho Chi Minh City, Mumbai, Shenzhen and Tokyo. With participation by over 300 financial services companies, including securities exchanges, retail and consumer banks, securities brokerage firms, asset/fund management firms, listed companies and other financial services providers, ATIC events have attracted over 75,000 active traders and serious investors across Asia.

Personal Note: Will be arriving at 9:30am on 24/April for the opening ceremony as the VIP guest. More review will be posted on what I have learned for these seminars. Do support this event if you are free in this weekend.

CapitaMall may re-test its resistance at $1.88 tomorrow!

On 20/Apr, Singapore shares ended higher Tuesday, as regional financial and airline stocks gained after Monday's strong decline on an overnight rise in Wall Street.

STI ended 20.44 points (0.7%) higher at 2981.37 points with 1.89 billion shares traded compared with 1.95 billion Monday. In the broader market, gainer outnumbered loser 340 to 170.  Overall today is a session for bargain hunters to snap up recently beaten-down shares especially for airline stocks.

Market sentiment was beginning to perk up as Wall Street stocks rebounded from losses posted on Friday since the announcement of U.S. regulators had filed civil fraud charges against Goldman Sachs. 

"The Goldman Sachs issue has affected global financial markets negatively, as the [civil] fraud charges against the bank emerged at a time when global stock markets were at their highs," said Bae Sung-young at Hyundai Securities in South Korea. "But the Goldman issue won't likely affect fundamentals, limiting the impact on the market. A string of recent and upcoming solid earnings reports and economic data will likely lend support to the market." 

Today SIA were recovering on hopes air travel constraints imposed across most of Europe due to ash from a volcanic eruption in Iceland will ease eventually.

SIA closed at $15.22 (+1.7%) with higher than normal VOL 2.82 million shares traded.

Finally today Capitamall tested its important technical resistance at $1.88 but FAILED and closed at $1.86 forming a black candlestick to indicate its indecisiveness. The VOL traded is at average VOL of 6.43 million shares. Capitamall may re-test $1.88 again tomorrow but failing to break out will most likely result in pullback.

Important Resistance of Capitamall: $1.88

Immediate Support of Capitamall: $1.81 (Based on ascending triangle)

RSI: Neutral at 52%

SIA and Property Stocks are still a buy!

On 19/Apr, Singapore shares ended lower Monday affected by new concerns about China's property market and uncertainties about the impact of European flight cancellations on certain sectors in Singapore. 

STI ended 46.26 points (1.5%) lower at 2960.93 points with 1.95 billion shares traded compared with 1.85 billion Friday. In the broader market, losers outnumbered gainer 495 to 118.  This is the first time in three weeks that STI almost closed below 2950 but I would not worry too much since the SELL DOWN VOL is not that great.

Financial News

Financial stocks fell across the region after Goldman Sachs shares tumbled 13% Friday, marking its biggest one-day dollar drop in its history. This massive sell down came after the U.S. Securities & Exchange Commission filed civil charges against Goldman for allegedly defrauding investors through use of a financial product tied to subprime mortgages. Later in the weekend, sentiment was further hurt on news that the U.K. and other European nations might also investigate the investment bank in the wake of the U.S. regulators' charges.

Property News

On Saturday, China has announced to introduce more property sector tightening measures in a bid to curb speculation. The new measures include allowing banks to refuse additional mortgages for home buyers who already own two or more properties and permitting local governments to take temporary measures to limit the number of property purchases each investor makes within a certain period.

Airlines News

Today SIA had a massive SELL DOWN and closed at $14.96 with HIGH VOL of 6.88 million shares traded. The prolonged disruption of European air travel due to recent Icelandic volcano eruption has caused Singapore Airlines (C6L.SG) to cancel more than 20 out of 25 daily flights to, from Europe since problem began.

Singapore Airlines has yet to say how much it expects to lose in earnings as a result of the disruptions

Important Resistance of SIA: $15.22

Immediate Support of SIA: $14.76

RSI: Still not oversold despite sell down (42%)

My sentiments on SIA: Encourage to BUY on weakness especially for long term investors. ($14.76 and below will be good price)

Hang Seng Could Dip to 21,100

The Hang Seng may test 21,100 this week in light of Goldman's fraud jitters and other uncertainties in the market, says Peter Lai, director at DBS Vickers Securities. He shares his outlook on the HK market, with CNBC's Emily Chan.

SINGAPORE Stocks Earnings Announcement Dates (18/04/10)

More company will be having their quarter earning reports in the next week.Keep a lookout for them as they approaches for trading opportunities.

Market Outlook (17/04/10) Goldman Concerns may trump Good Earnings Week!

In last week, STI gains 24 points from the opening of 2983 and close higher at 3007 to mark almost a white “Doji” candlestick in weekly chart to show the indecision of the rally ahead. The VOL in this week is LOW although getting higher compared with the previous weeks. Overall the market already has sign of weakness and may pullback any time from now.

Yesterday night, Goldman Sachs plunged 23.57, or 13%, to 160.70, marking the stock's biggest one-day dollar drop in its history, after the SEC filed charges against Goldman Sachs for failure to disclose vital information about a synthetic collateralized-debt obligation, or CDO, that hinged on the performance of securities backed by subprime residential mortgages and the fact that the hedge fund had taken a short position that bet against the CDO. Stocks fell but not dramatically as the Dow managed to close above 11,000 and the majority of the stock damage was centered on financials.

In the next coming week, Singapore will have another round of company earning report. However uncertainty surrounding Goldman Sachs will likely overshadow the positive news from dozens of major corporate earnings reports in the week ahead. Some analysts say the Goldman charges could be the event that will trigger a much anticipated stock market correction, and the magnitude of the decline will depend on how far the SEC investigation spreads and whether it also involves criminal charges.

Important resistance of STI: 3040

Immediate Support of STI: 3000

MY TACTIC: Hold your current portfolio and prepare to SELL once your counter has announced the earnings report AND NO FURTHER STRENGTH TO RALLY.