Batu Kawan is a cheaper proxy to Kuala Kepong

 

Between 15th October 2010 (Friday) and 18th October 2010 (Monday) Batu Kawan formed a  gap up from 15 to 15.30 with a relatively large volume which is shown in the chart above. This is partly because on 14th October 2010 CIMB Investment Bank published a very rosy picture of Batu Kawan as a potential privatisation candidate and attach a value of 18.02 to Batu Kawan.

There on, this counter has a fair bit of fluctuations and went on to form a bear divergence. with both MACD and RSI. This bear divergence push it to a mild correction (which suggest strength) on smaller volume. 

At the moment it is traded cum dividend. The 50 sen single tier dividend will only go ex on 22nd February 2011. So there is ample opportunity to accumulate Batu Kawan now. Not only the investor will enjoy a handsome dividend but also can ride on the strength of an up trend  journey.

Another important point is, Batu Kawan holds 45.65% of issued shares of Kuala Lumpur Kepong (KLK). KLK's closing price on 24th December 2010 is 21.78. On a very conservation estimate of just taking the worth of 45.65% of KLK at 21.78, Batu Kawan is worth more than 24. 

So if anyone is thinking of investing in KLK, Batu Kawan is much cheaper proxy to investing in KLK.. 

AEON on consolidation path

I posted AEON chart on 23 December 2010, suggesting that it is about to have short term weakness . True enough, on 24 December there was a spike down from the previous close of 6.24 to 5.82 with a small volume.. It closed at 6.10 for a 19 sen loss which is equivalent to 2.9% decrease. I think that the correction of AEON is not over yet and those who wish to invest in AEON should wait for a while longer.
For those who have invested at lower level should sell on strength as you have a good chance to buy back lower.

As usual, if you use what is written above to buy or sell the risks and rewadrs are entirely yours as only the opinion is mine.  Best of luck from me.

Take profit on AEON

AEON is at the top of  an uptrend channel.
My guess is to take profit now and buy back later.
There is a bearish divergence, which is a confirmation that it has a short term weakness.

Daiboci at turning point

Daibochi chart as at 23rd December 2010.
Currently the price is 2.55
Daibochi is at a turning point. which may presents an opportunity for traders who wish to trade short term
It has broke through the S1S2 support line and is on downtrend following D1D2.
It is about to touch D1D2 and traders can buy now to ride the correction for it to reach the upper parallel line of  D1D2.
If you are lucky to buy at this price you can look forward to sell higher for a profit.
Ultimately it should move up to slightly above RM3 level.

Boustead has value for investors and has excitement for traders

The Boustead chart above is captured on 2nd December 2010.
Current price is about 5.50
Even at this price I think, it is still a good long term buy for investors who fancy stocks that pay attractive dividend on a regular basis. It has just declared a single tier 12 sen dividend which will go ex on 14th December 2010. This is the third dividend declared in as many quarters. First and second quarter dividends are 5 sen (single tier) and 10 sen (single tier) respectively making a total of 27 sen dividend so far. I expect Boustead will declare a final dividend in 3 months time.
Chartwise it has climbed from about 4.29 level (24 Sept 2010) to a recent peak of 6.05 (26 Oct 2010)
On 24 th November 2010 it had retraced slightly more than 50% to 5.08.
Currently it resumes its uptrend move . It should be able to go higher from here and if the 6.05 level of resistance is broken it may climb even higher

The above opinion is mine and if ever you use the info for investment or trading you need to take you own risk..