Semb Marine 27 Jan 2014

This is probably the biggest chart pattern among all the component stocks of the STI. Finally we see a break of the descending triangle on the down side. There was some sort of a false breakout back in Oct 2013. But price very quickly went back into the consolidation area again. Looks like more downside from here till about $3.75 region. Not too sure whether the $4.00 will prove to be a strong psychological level.

If look at the SembMar weekly chart, one will have some idea of how big this chart pattern is. I was just surprised that it choose to break down almost at the end of the apex of the triangle, and not any earlier. It take patience I guess.

Now give me a meaningful throwback, and I will short it!

United EnviroTech 27 Jan 2014

UET was another stock that managed to turn green in the last hour today. Kind of easy to spot the green stocks as most in the watchlist were Red. Managed to test high and even break it. Volume did increase, but it is not as impressive as the Sunvic's volume. 

All time high stock. Had a very strong inbound trend. Shallow rest for a few days, and then thrust-pause-thrust pattern a few days ago. Based on projection, it has reached its target price near $1.20 region. Do you think it will continue to make high?

Anyway, the whole sector has been running recently. Water treatment related stocks, such as Hankore, SIIC, Memstar all moved up. Read in ZaoBao that as long as stocks linked with 国有, i.e. linked with the national companies in China, it gives confidence in investors. Strong backing from the 国有公司means got stamp of approval to run? 

Sunvic 27 Jan 2014

While today is a huge down bar for the STI, there was one trade that I hesitated and missed. Not for shorting, but for long. Below is the hourly chart for Sunvic.

I did see the volume coming in during the last hour. Aggressive buy up. I hesitated to go in. Most stocks were down for today, with the exception of a few, and this is one of those few. I was chasing the price for 2 times. Keyed in order, haven't click "OK" and then it jumped to the next pip. Frustrating. Today's up bar sort of negate the 2 down bars a few days ago. Equally impressive volume. Looks like it will continue to go up tomorrow.

Below is the daily chart. 

Sunvic has an very aggressive run up recently. Huge thrust bars, accompanied by high volume. And then the news only came out that it was selling part of its assets, not the whole company. That was the cause of the huge down bar 2 days ago. Anyway, just a reason for them to take profits off the table, shake off the weak hands that went in late, and now trying to push up again. I think Sunvic will recover to test the recent high @ $0.795 which happens to be a resistance level as well. Not for the weak-hearted. Definitely a hit-and-run trade if go in. Now is the time to call upon the balls of steel...

STI 27 Jan 2014

This is the STI chart updated as of 24 Jan 2014. It has been consolidating sideways for 2 weeks or so, trading within the range of 3120 and 3150 thereabout. It has to break out of this range as the longer it remains within a tight range, the more unstable it will become. And thus, it decide to break out of this tight range on the downside on 23 Jan, with slightly increased volume. Great! This was what I had been waiting for. Shared with the mentoring audience that I was shorting the blue chips, while selectively longing the strong stocks. Looks like no CNY rally for this year.

Attached below is the STI chart for 27 Jan 2014.

Gap down. Touch the pivot low support @ 3025, and then bounced off. Closed as a hammer bar, which is the only positive thing. With 3 days of selling down, with increased volume, and the gaps, the STI is injured. Energy is stored on the downside. I'm not too sure whether we will have a reasonable bounce/ throwback from here as CNY is in 3 days time. Nonetheless, any bounce is an opportunity to short the stocks. Just need to be mindful of the support @ 2990/ psychological 3000 level. Otherwise, the next strong support is @ 2930 region. We'll see.

Keppel Land 21 Jan 2014

I have to admit that today I was really tempted to go in to short Keppel Land. Already keyed in my orders at $3.30 level, but hesitated to click the "submit" button cos' I remember that Keppel Land was announcing its results on 22 Jan, which is tomorrow. I just don't know whether it will be pre-market or after the market closes.

Looking at the chart. Price has throw back to above the resistance @ $3.28 region. Look at the volume when it is throwing back. I thought this is a bluff! Property stocks are probably the weakest sector right now, and this is the leader! Push up prices before the release of the results? I think I pay too much respects to the Dow Jones futures which was almost at its day-high when I keyed in my orders at $3.30. I hope I would not regret my decision not to enter this stock today.

China Fishery 21 Jan 2014

Recently, there has been an increase in the volume of China Fishery, evident by the price thrust bars and the volume spikes. Currently it is resting with low volume. Looking at the 50-200 SMA, it really seems that this stock might have turn the corner. 200-SMA is flat at the moment. If it continues to go up or at least stay sideways, I think the 200-SMA will start to turn up. I think we have a valid Golden Cross here.

This is the bigger picture for China Fishery. Has been downward trending for 3 years, with the slope of the fall easing in the last 6 months or so. Once it clears $0.60 resistance, can definitely say it turn corner. But I am tempted to go in now since we have a Golden Cross, a spike in price and volume, followed by the low volume rest. Tempting...

SIA Engineering 20 Jan 2014

Looks like gonna reach the critical point soon. Will this triangular pattern break decisively? Up or Down? I had traded this stock in Aug 2013 period. It was a losing trade that I held on to. My ego got the better of me. I wanted to be proven right. I even made the mistake of adjusting my stop loss. My losses grew and I sort of entered the frozen zone. This trade has to come after a series of winning trades. Yaya papaya! Did I learn my lesson and correct my behaviour? Time will tell.

Previously, when SIA Engineering cross its 50-200 SMA, it was always decisive and it would not criss-cross so soon again. Well, I was wrong this time as obviously, the 50 SMA moved above the 200 SMA again. But judging by it, looks like its gonna cross down again soon. Is it a coincidence that the potential crossing point is at/ near the apex of this triangular pattern?

I hope to be right this time as this could be a potential big move and a banker!

Kep T&T 20 Jan 2014

Since Keppel T&T announced that it is exploring the establishment of a data centre REIT in beginning of the year, the price spiked and has been generally hovering near its top. It has also cleared a major significant resistance @ $1.80 region. Notice the general low vol when it is pulling back? And the slight increase in volume today? It is announcing its result tomorrow and I feel that has some effects on the price today. Will continue to put it in my watch list. But really...Should I enter early?

UPDATE - Wing Tai 20 Jan 2014

Has been slowly dropping since Wing Tai broke its support a week ago. Kind of expected it as its characteristics is rather gentle. Volume has been picking up relatively over the last few trading sessions. Not too sure people are just selling or what. Lucky today it is a very low vol day for Wing Tai. Just need to be mindful of the support @ $1.75 region though. I don't mind to take my profit at that price!

China Environment 20 Jan 2014

One of my former darlings. After that penny stocks bloodbath lead by Asiasons, Blumont & Liongold in Oct 2013, this stock was affected as well. It experienced a deep pullback during that period, and has been forming a consolidation pattern since then. I had thought this stock was gone in Dec 2013, and would just roll down from there as the interests and volumes dry up. Quietly over the last 2 sessions, we witnessed an increase in volume. Something is cooking! I shall put China Environment back into my watchlist. Just the overhead resistances @ $0.65 and $0.67 to watch out though. 

STI 17 Jan 2014

The bar for STI 14 Jan 2014 was the one that convinced me there is more downside ahead for the index. It was a gap down bar, with a tight range, accompanied by an increase in volume, relatively. Only thing is it closed near its day high but is still a down bar that tested and break the near support at 3119 region. Over the next 3 days, the STI tried its best to crawl up, literally. Regional indexes were much stronger than our local index performance. DJIA has 2 days of 100+ points, but the STI only climb up marginally. The red downward trendline will continue to be the resistance to watch. Unless it can be broken convincingly with volume, I will view any throwback as an opportunity for me to short the index stocks.

Looking at the bigger picture on the weekly chart, nothing much has changed. The STI is still in the midst of a consolidation zone, and trading is gonna be choppy. Not the best of times to hold stocks for a long period, but for hit-and-run, quick profits type. The STI is still confined in between the support at 2950 and resistance at 3270 region. It looks like we are experiencing a complex retracement. No new lower highs or lower lows formed; or higher lows followed by higher highs. In fact, I think there is a chance that we might form a symmetrical triangle on the weekly chart in the weeks ahead. The apex is probably still about 2 months away, but we should break out, either up or down, before we hit this apex. Lets watch. 

United EnviroTech 14 Jan 2014

This post was meant to be posted yesterday. However, I did not manage to get that "Ctrl + Prt Sc" buttons to work together. It was working fine all afternoon till I want to do this UET stock as a last post for the day in the night. Mysteriously, "Ctrl + Prt Sc" can work for all screen captures except for when I am using Metastock. Strange!

Anyway, UET tempted me the whole day. Contemplating whether to long this stock. The previous V-shape recovery had such strength and momentum, judging by the up-bars and the increased volume, that I expected this stock to break anytime. Instinctively, I wanted to long, but my head says to wait for the breakout. Oh well, this is what UET did today:

Kind of sums up my luck for yesterday and today. It had to break out today! And yet, I did not set an order for it. Busy looking at charts, mentally told myself to prepare to enter, and I did not take the trade when it broke out. Kind of like my experience with Metastock & Picasa for the last 2 days. For a noob like me to use the software, and update a blog, it ain't easy. But I shall keep to it as long as possible. Discipline!

SATS 13 Jan 2014

Another stock that caught my eye. Do u see the 50-200 MA about to cross over?

This is the bigger picture. Do you notice that whenever the 50-200 MA cross over, prices also go directional  and in order too? Definitely in my watchlist and zoom in radar. Strong support is at $2.80 region. Just waiting to pull the trigger only...

TRADE - Wing Tai 13 Jan 2014

Among all the property stocks, Wing Tai is the one I am most interested in for shorting.
Reasons are:

• The 50-200 MA has finally crossed for this stock.
• It has broken the red trendline support. 
• It is still some distance away from the significant support at $1.60 region. 

Compared to its many counterparts, WingTai looks strong. Its 50-200 MA has been holding till the recent cross-over in Nov 2013. That's the main reason why I want to short this stock. It has room to drop! In fact, Wing Tai has broken its support at $1.89 today.

Thus, this is my first trade for year 2014 and my first trade in this blog. I am not expecting a fast drop as it is not the characteristics of Wing Tai. More likely will be a slow drop. 

Fingers crossed, with so many horses in the property sector, I hope I picked the right one. 

CapitaLand 13 Jan 2014

Like I mentioned in my earlier post, Capitaland has yet to break its support at the $2.92 region. Keppel Land has already broken it's support. Nonetheless, it is still one of the weakest component stocks of the STI. The strong support should be around $2.76 - $2.80 region. Hence, even though this stock is weak, I am not looking to short it as I feel Keppel Land would be a better candidate! 15 cents range, from $2.95 to $2.80 is not enticing enough for me!

Keppel Land 13 Jan 2014

Generally, stocks in the property sector have been weak for some time, mirroring the effects the property cooling measures had on the sector. Keppel Land is the "leader" among all the weak stocks in this sector. When the STI was doing a throwback in the second half of Dec 2013, the sector did not follow. In fact, Keppel Land was the first to break it's support. Others like CDL and Capitaland have not break their support. I missed the chance to short it as I've been waiting for the throwback that never materialize.

Looking at its weekly chart, Keppel Land has convincingly finished its distribution pattern. Looks like a free fall from here, till the support at $2.80 region. Please give me a throwback and the chance to short it!

STI 13 Jan 2014

By end of 2013, STI was testing the downward trendline. Looks like an abandoned baby formed on 2nd Jan too. To me, this is a sign to short the market. The 50 & 200 MA are both still pointing downwards. Unless STI manages to break through 3170 region, i.e. break the downward trendline, I will be looking for opportunities to short the market.