Monday, June 15, 2009

Disposal

Oil slide back a bit, likely profit taking set in, however, still remain positive that the oil price will remain high in near term.
I have taken step to reduce some of my holdings to lock in some profit first, amongst the counters disposed today are PANTECH, HUAAN, PANAMY, YUNKONG & remaining HEKTAR.
With the disposal, managed to reduce 15% of my holdings. Would likely channel this fund to other potential counters, however its very much depend on current market sentiment.
Till then, happy trading.

Macroeconomics
· The table was turned yesterday, as all indicators were negative compared to last Friday’s. Crude oil prices eased to USD70.62 compared to USD72.04 a barrel a day earlier, while DJIA fell 2.1% to 8612 points, signaling a still uncertain economic environment.

· In the US, manufacturing activities in the New York region fell at a faster pace to 9.4 points this month compared to 4.5 last month, as sales and inventories declined. The NAHB housing sector index also unexpectedly declined to 15 points compared to 16 last month, indicating a slow recovery from the housing slump.

· Foreign direct investment in China in the first four month of the year contracted by 20.4% to $27.67bn, while price pressure eased further, as showed by the 7.6% YOY fall in wholesale prices. Spending cut by the private sector is somewhat offset by the government’s fiscal stimulus to weather the world’s worst financial crisis since World War II.

· Other unpromising news include a fall in Eurozone’s employment by 0.8% in 1Q, and the contraction in Singapore’s Apr retail sales by 11.7% YOY, mainly due to lower car sales.

28 comments:

Anonymous said...

As expected, market slump 15pts in first 1hr, follow the lead from overweight tumble in US market.

Decided to deleverage and lock profit on Tanjong. Sold total of 50% cpaital + 100% margin line, tanjong at 13.50, realize all profit first to stash wealth. Portfolio now still have 50% tanjong at cost 13.08.

With market downturn, a lot of bargain oppurtunity exposing, waiting to cherry pick some other potential stocks.

horse said...

good trade on Tanjong.

it is world market downturn, would likely take a few days to settle. either pick some quality bluechip stocks or stay sideline for now.

Anonymous said...

Oh yes, i've sold tanjong by another 30% at 13.50, realize even more profit and further trim tanjong holding to just 20%.

I'm raising more cash and prepare for bargain hunting.

Anonymous said...

I'm still optimistic on tanjong prospect. Although selling below my target price, but it still consider very lucrative as i've fully invest and focus only on this single stock and double up net profit margin by leverage 100% using margin line. Hence, manage to increase net total capital/ROE by at least 4.5%.

In current volatile market, its better to be defensive and realize profit fast. There should be ample of oppurtunity ahead to re-enter into market.

Anonymous said...

This morning, start accumulate bjtoto. Bought at 5.25-5.30, raising bjtoto stake up to 80%. Bjtoto cash and share dividend indeed attractive.

Portfolio now have 80% bjtoto and 20% tanjong.

horse said...

hng,
lately your appetite is enormous. you tend to whack to the fullest when you see opportunity.

Even leveraging your margin to fullest as well.

Daring & confident...my respect to you..

horse said...

i'm buying some bjtoto to top up my holding, so that it wont run into odd lots while share distribution take place.
this ratio of 1 for 14 is quite a strange one. Why don't they make it 1 for 15 or 1 for 10. is hard to adjust by buying merely 400shares while one is holding 1000shares.

Anonymous said...

Frankly, i don't intend to hold bjtoto for long. This is because the way management gear up through borrowing to distribute first interim dividend in advance for 2010, is not a good corporae practise.

This is just merely help bjland to redeem covertible bond due by Aug. In addition, after this round of excerise, bjtoto dividend yield will be depleted in 2010

Anonymous said...

Horse

I must exploit every oppurtunity in current volatile market and accumulate wealth as soon as possible to increase my capital base. Will no hesitate to use margin line to leverage ROE.

The size of the capital is important. The larger the capital, the lessen the degree of margin is needed to realize desirebale profit. This is especially important in bear market.

horse said...

queuing to buy more Genting at 5.65.

Anonymous said...

Sold off remaining 20%Tanjong at 13.80, realize all paper gain.

horse said...

Bought Genting at RM5.65, hopefully the MGM thingy not going to burden Genting.

Anonymous said...

I think if Genting wanna to venture to Macau, acquire strategy stake should provide catalyst to the stock price.

However, Genting may be through Resort rather than itself, as Genting need to concentrate effort to develop Singapore casino, open by end of next yr. Beside that, Resort only have sole buiness in Malaysia, and is cash rich company. Hence, resort should fully utilize it cash to acquire stake in Macau and diversifying its business in these casino hub.

horse said...

Bet on both then, to be on the safe side.

Anonymous said...

Hope when news become reality, you could receive windfall profit. Good luck

horse said...

Second board counters are on fire now. Speculation shift..

hng,
not waiting for 1Q result on tanjong ? Good trade on tanjong :)

Anonymous said...

Investment plan keep changing! I find it very hard to not realize paper profit, expecially it is big sum in current volatile market.

Never mind lah, so long there is market, there still have lot of potential stock waiting to be pick.

horse said...

true, market is always there.
just making sure it is a dividend paying, undervalue and potential growth company. the you will seldom go wrong with your investment.
Hope Bjtoto fly, the previous high was at 5.55. I have been keeping many years for bjtoto, the paper gain, dividend received & cap repay have given me a total of >200% return. Very rewarding indeed.
Good luck to you.

Anonymous said...

Stock slump, down more than 13pts. Finally, bursa suffer correction, which could cosider healthy.

Luckly, adopt defensive strategy, manage to lock in most of the previous gain. BJtoto share should continue resilient before all ex-cash/share dividend. Intend to buy more if share on further weakness.

Anonymous said...

Wah, really serious correction. Take his oppurtunity to buyback keladi at 15.5sen.

Portfolio now fully invested: 80% bjtoto and 20% keladi

horse said...

was away.
wow, real bad. looks like tomorrow would likely to follow suit.
No trading today.

Anonymous said...

Market rebound follow the lead from overnight US market.

Most of the penny stock are trying to recoup yesterday loss. Punter sentiment change from extreme pessimistic to over optimistic. Ha, these kind of investment behaviour are repeating-over n over again.

horse said...

do you think it can last, volume still very low...

horse said...

hng,
your keladi can run already.. :)

horse said...

Bought back Pantech at 775sen.

Anonymous said...

Market may still under correction mode, but it have also offer bargain and allow investor to re-enter market.

As long don't overpaid premium and buy only if share are value for money. Hence provided safety of margin and avoid being trap.

Keladi is always in my radar screen, just wait for bargain price; buy on weakness and sell on strength always applicable.

Anonymous said...

Last minute, bought more bjtoto at 5.10 using margin line.

Portfolio now have

80% bjtoto (cost RM 5.28)

20% keladi (cosy 15.5sen)

20% bjtoto (cost RM 5.10) (margin line)

horse said...

wow, Bjtoto still going strong at 5.20. The effect of dividends is quite substantial.

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