Weekly Stock Analysis
Week Ending 2013-01-25
Potential Short Term Plays
In the bull market, it is relatively easy to spot potential counters to long. As long as one is willing to take a reasonable amount of risk, he/she will be able to make good profit from the trades. However, when the market turns, it is best to stay at the side line.Genting SPPotential CNY rally. Short term play targeting 1.56. Entry at 1.44 - 1.46. Resistance at 1.65. If can break out of 1.65, 1.72 will be next. January to April seems to be good time for Genting SP due to CNY harvest.
Golden Agri
Short term play with low target. Potential entry 0.625-0.635. Target range of 0.67-0.68. This counter is stuck in the range. The outlook for Oil Palm plantation is not very positive with more supply coming into the market as the new development 3-4 years ago start to bear fruits. A lot depends on how the whole economy recover and demand of petroleum oil.
Hi-P
Potential bounce from support. Poor performance of Apple overhangs. 1.00 is unlikely to achieve.
Playing range of 0.70 - 0.83 is possible. If able to break out of 0.84 then 1.05 will be possible. Potential risk is break down from 0.68. Once that defense if broken, hell will break loose. This is not unthinkable as major customer Apple is facing major challenges. However, the Apple fear may be short term as long as overall demand for electronic products pick up.
STX OSV
Hammer. Potential bounce from support. Short term play can be considered. M & A target. Entry at 1.275 - 1.285 range. Target at 1.38 - 1.44 range. Some falling windows to deal with but not significant. Other factors, M&A. Potential take over target and possible delisting candidate. The overhanging fear is the low price offered by the buyer. These are the risks involved in this counter.
