Saturday, April 12, 2014

Market talk

It is Sat morning ... normally, I have tuition classes but today ... I am free. So, I took the change to attend a market talk.

It was organised by JF-Apex(of Klang) ... and the title is 'sell in May and go away or buy in May and hold all the way'. Very catchy ... haha.

Just came back from tuition classes and have been out since morning. Tired.

Will go for dinner ... and hope I could find little time to share what I gathered from the market talk.

Sunday morning (7.30am)

Good morning ... feeling fresh after a good early sleep. It rained yesterday.

Ok ... getting to the point of the market talk i attended yesterday.

First pointer shared was ... 'Lack of Confidence'. He mentioned that many of us in KLSE is lacking in confidence as we do not have a system that can ensure us the 'winning' edge. That I will agree ... as majority of retailers will buy-sell from hear-say, reading blogs/forums ...emm ... or simply buy due to some news. So, that just show how naive many in KLSE ... taking a guess on what to buy-sell.

Rule of 20% : This is interesting way of chart analysis. Take the peak ... give some 20% discount and use that as support. If it breaks below that 20%, it is bearish and DO NOT buy such counters as it may either go lower or stay there ... hmm ... buy only AFTER it moves up back again.

Examples given are AirAsia and Benalec. Do not bother to look at them now(agreed).

AirAsia : This is the chart of AirAsia, adjusted chart. the peak was RM3.91 ... so, 20% discount will be RM3.12. Use that as support ... and if the price dip below RM3.10, need not to check anymore as it is downtrending. We will only check AirAsia with intention to buy at above RM3.12 ... and with RM3.91 as the target.

Benalec : The peak was at RM1.59 (x 0.8 = RM1.27) ... so, once Benalec broken 1.27, need not to check.

What stocks to check at the moment using this 20% rule? He given Daya and Puncak

Daya : The peak wass 45.5 cents ... so, 80% of that is 36.5 cents. That was the support. Now, as it is trading below this level, we should not bother to look at it but to watch now ... and check if it is going above 36.5cents ... and BUY. Target is at 45 cents.

Puncak : Recently rebounded from the support (20% from the peak) ... so it is a BUY. The support at RM2.88.

ok, will continue IF I have the little time to share ...

have a nice Sunday and stay positive(by being with positive people!!)


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