Showing posts from October, 2013

Profit-Taking Breather Pending Budget 2014

Buy on Weakness MRCB & Wah Seong Blue chips extended gains Thursday, lifting the FBMKLCI to close at another record high on hopes  the  contents  of  Budget  2014  could  present  goodies  to  boost  economic  growth.  The index  added  4.82  points  to  settle  at  1,818.93,  off  an  early  low  of  1,817.41  and  high  of 1,822.17  but  losers  beat  gainers  420  to 345  on  slower  trade  totaling  1.52bn  shares  worth RM1.66bn.

Resistance at 1,826 & 1,850
While  overnight  strength  on  US  stocks  due  to  stronger  earnings  and  stimulus  optimism should  buoy  sentiment,  stocks  may  fall  for  profit-taking  breather  today  as  investors  await the  Budget  announcement  with  bated  breath,  with  the increasing  overbought  technical momentum likely to encourage the selling off of trading positions. Immediate resistance for the index stays at the 6 May all-time intra-day high of 1,826, while next hurdle is at 1,850 where there should be stronger profit-…

Malaysia Market Daily - Rebound on Hints to End of US Debt Deadlock.

BUY AirAsia & Tenaga .  FBM KLCI  Resistance at 1,780, Support at 1,763 The  local  stock  market  fell  Wednesday  with  blue  chips  suffering  losses  which  forced  the
benchmark  index  to  close  at  the  day’s  low,  as  investors  continued  to  worry  over  the protracted US government shutdown and looming debt ceiling deadline crisis. The KLCI lost 8.38 points to end at 1,769.12, off an early high of 1,775.04, as losers edged gainers 381 to 321  on  flat  total  volume  of  1.51bn  shares  valued  lower  at  RM1.35bn  as  compared  to  the previous day.

With hints emerging overnight that the US shutdown and debt ceiling impasse is nearing an end  as  political  agreement  could  be  reached  soon,  local  blue  chips  should  stage  rebound from yesterday’s slump. Immediate support remains at the 50-day moving average now at 1,763,  with  stronger  supports  from  the  1,747-1,753  gap-up  of  10  September,  and subsequently 1,738, the 38.2% Fibonacci Retracement…