Thursday, December 27, 2012

Multico Poised to Move Higher

Multico gapped up at the opening bell. It closed at 1.42 after a high of 1.43. The chart clearly shows that sentiment in the stock has turned positive. Volume in the last 4 days shows an upward trend. A golden cross is also displayed in the chart. All these mean that the stock is likely to move higher. Once the resistance at 1.47 is cleared, new high is expected.
(The opinion expressed is that of the writer. If you disagree with him, don't tell him. Just unfriend him.)

Tuesday, December 25, 2012

Wishing all my readers Merry Christmas and a Prosperous Happy New Year.

Sunday, December 23, 2012

The Best Way to Stock Market Success

The more I am involved with the stock market, the more I am convinced that the best way to build up wealth is to, first and foremost, master the skill to identify great stocks. Buy them at bargain prices and hold them for the long term is the best strategy. This is the surest way to financial freedom for your golden years.

Easy as it may sound, it is, in actual fact, not that easy. If you don't know how to read an annual report and understand the figures there, you will never be able to become a good stock picker.

So the first you need to do is to arm yourself with some accounting knowledge. You must at least be able to understand the Balance Sheet, Cash Flow Statement and the Income Statement. Once you know these, you can go on to calculate the key ratios such as:

PER, EPS, NTA, Current Ratio, PSR, PEG, PBV, Debt-to-Equity Ratio and others.

Knowing how to calculate these ratios is not enough. You must understand their meanings and implications. Once you have learned and understood these key statistics, looking for a winner becomes a possibility.

obviously, there is an awful lot of work to do before you can say, " I found a winner".

Once you have decided on a stock you wish to invest, don't rush in to buy. Have a good look at its daily chart and weekly chart. This will clearly show you how the stock has been performing. With the charts you can easily see the highs and lows of the stock. Pay special attention to the latest transactions of the stock to figure out what is happening.

Buying at major support level is generally safe.

For those who wish to see quick money, buying at upside breakouts at low level is advised.

At high levels, upside breakouts are extremely dangerous but can be extremely profitable as well. If you are an inexperienced player, you should never attempt to buy at high level breakouts.

While there should not be a limit to your gains, there must be an absolute limit to your losses.

Never bet without a stop-loss in place.

This blog is a monarchy and I am the monarch. If you don't like what is written here, don't tell me. Just unfriend me.

Saturday, December 22, 2012

Keck Seng Cash-Rich and Asset-Rich

Keck Seng is cash-rich and asset-rich as well.

After a long period in the doldrums, Keck Seng's hive of activity last Friday came like a bolt from the blue. Its traded volume improved substantially at 1, 372,900 shares. The stock was up 14 sen. It closed at RM4.01.

Normally, it used to be around a few thousand shares transacted daily.
This sudden turn of sentiment is most likely to be a reflection of some bullish news known only to some insiders at this stage.

The company made a gain of RM259 million in 2010 from the disposal of its investment in Parkway Holdings Limited. Instead of giving out some currency notes to its shareholders, it chose to give out only a piece of paper (a bonus issue) and keeping all the cash. As at 31.12.2011, it has net cash of more than RM700 millions. I wonder what it intends to do with the money.

Most of its landed assets are in the Iskander Region. In KL, it has the Menara Keck Seng and the Regency Tower. If a revaluation of all its properties is made, the company will be worth many times more than its present book value of about RM5 per share.

Is the heavy volume transacted last Friday a prelude to something important about to happen at Keck Seng? I sincerely hope so, and I intend to hold on to my shares.

Thursday, December 13, 2012

TMCLife has turned the corner

TMCLife appears to have turned the corner. It has been losing all along until the last two quarters.

According to the StarOnLine, Vincent Tan has increased his stake from 30.78% to 31.06%. The other big shareholder, Lim Eng Hock has 32.59%

A battle between the two is likely to happen. And if it does happen, the stock is bound to head north.

At the last traded price of 33.5 sen per share, the stock looks a good buy.

Sunday, December 02, 2012

Palm oil to drop 7%

Palm oil, the world’s cheapest available cooking oil, must drop 7% in the next four to six weeks to attract demand and lead to a decline in record stock levels, top vegetable oil analyst Dorab Mistry said Friday. To read more, go to:

Presently, crude palm oil is around RM2370 per ton. Keep a close watch to see if Dorab is right.