Thursday, June 23, 2016
Post # 3323
Morning ... still blur-blur as I slept late, watching DOW surged up only to dive ... it closed minus 48.90 points ... but but ... DOW futures GAP up this morning ... WOW ... ahead of Brexit.
Hapseng : Welcome to KLCI .... you are the man.
UMW : Buy ... I mean, bye-bye.
As I could not think of a title of this morning post (still blur-blur) ... so, I saw that this is my #3323 post ... and stay as that as my title. Haha ... that is how random I am ... not your usual stock-market or financial bloggers leh. I am not ... I m just a teacher, happened to be involved in trading and being a blogger!! Didn't I said that many of times?
Anyway ... I searched for the code 3323 ... there you are. None in KLSE but could be found in HKSE ... 3323.hk is "China National Building Material Co". Don't know what this company or counter about ... but the word BUILDING MATERIAL and down so much ...
Let me search uncle-google for more info ... (I could just go back to sleep rather than writing this post, right? But I will not ... I rather write this post and share with NEWBIES and readers how we could search and do some homework on counters we know nothing about).
OK ... a glance at google-finance search ... giving me PER15.3 and no of employees 134k. Wow ... so, this is a huge company with market cap HKD18.5bil.
Next ... check the website. Type code 3323 or the name into google search.
There you are ... next ... download the quarter-reports and annual reports. Learn to read these etc etc ... and if some alarming FINANCIAL red-flag there, no need to continue to bother. Move on to code 3324 then. haha.
By the way, if you see these giants in China in downtrend ... what do you think of the economies? How about our recent rally in STEEL sector(I SKIPPED the who rally in Annjoo, LionInd and such). Let me show HIAPTEK which is ACTIVELY trading at the moment (9.50am here)
HiapTek (code : 5072) recently was VERY active ... as the whole STEEL sector steals the show. The above is the WEEKLY chart. WOW ... can see the VOLUME and rally of above 40%? Go go ... go to forum and you will see many retailers, those with free-time will talk about the sector etc etc.
To me, it is a NO NO ... a sector to avoid in total.
There you are ... this is taken from my screen-shot of my smartphone ... since 2015, consistently losing money ... see the chart too.
FA : Fundamental Analysis ... use common-sense ... EPS (stands for Earning Per Share) dropping from quarter to quarter ... then start to make losses for past FIVE quarters ... what is the senses that it SHOULD recover?
Think. Pause ... think for a while IF YOU RECENTLY bought HiapTek(or any steel counters) and TRAPPED up there ...
So ... to educate the public NOT TO PUNT is near impossible ... it is the game of gambling attracts many punters.
Ok ... I will write about Ho Kok Mun's book ... I have the older edition (second book) which I bought at 2010 and disagree to be conservative as market "just" recovering then ... now, time to check back his very good book.
For my collection, I bought the latest edition ... yes, will write more about some concepts he shared. He is a fundamentalist ... and in falling market, fundamentalists will beat those chartist ... hands down. Hey, I m more of a technical person tho I started from fundamentals.
A strong advice to all newbies and decent readers out there ... check the fundamentals of the company we are buying/trading. Read that book ... and I shall have a book-sharing when I m 'free'.
Have to go for gym now ... off.