Follow Us For The Latest Updates

Follow Us For The Latest Updates

Soft landing after a choppy trading week

Throughout the week, we believe those that follow us on M+ Wiz may face some challenges entering and exiting your position due to the negative market forces that continue to selldown stock market. The selling was rampant across the board and healthcare segment to a big hit last week, down11%, while technology stocks fell 5.5%.

Throughout the week, we believe those that follow us on M+ Wiz may face some challenges entering and exiting your position due to the negative market forces that continue to selldown stock market. The selling was rampant across the board and healthcare segment to a big hit last week, down11%, while technology stocks fell 5.5%.

Our virtual portfolio was down in the middle of the week, but managed to recover on Friday, lifted by one of the hospitality stocks, MERIDIAN. Overall it was up by 4.22% (excluding brokerage, stamp duty and clearing fees). 

Source: M+ Wiz list triggered stocks 

To be aggressive or To stay neutral?

Now, we believe most of the charts have turned better due to sharp selldown and rebounded last Friday. Hence, traders will be asking whether we should go aggressive to accumulate or trade the rebound only.

I will just provide some technical analysis on FBM ACE and FBM Small Cap Index for your reference.

FBM Small Cap – Violated below the symmetrical band and rebound into the triangle

Despite the earlier selldown below the lower band of the symmetrical triangle formation, it has rebounded off the SMA200 and back into the triangle pattern. Based on the information, we believe there is still some room for the current rebound, next resistance will be at 14,000-14,400.

FBM ACE – Supported along 9,467 and formed a bullish engulfing bar

Following the bearish engulfing candle formed on 3rd of Sept, the ACE index has taken some negative moments until Friday’s closing. It then formed a bullish bar along 9,467 level. This suggests that there could be some rebound over the near term. Should it revisited 11,364 and breaches above this level, the uptrend will be intact at least to 12,000-12,500 levels. 

Thus, based on the above two small cap and lower liner index, the chances of making good profits will be seen over this week, at least. 

Nevertheless, we will continue to cherry pick stocks from the universe and let M+ Wiz system to alert us on the entry. We will strictly follow the rules on M+ Wiz and trade accordingly. This week we have put in some healthcare-related (PPE and glove proxies) stocks such as COMFORT, HLT, NOTION, LUXCHEM. Meanwhile, other stocks include DESTINI and INARI. 

M+ Wiz is a system to avoid trading based on emotions, assisting traders to perform better in the market. We reckon traders to put a stop limit and protect your capital just in case the market turns against us. 

Stay tuned for M+ Wiz highlights every Monday at 12:30pm, we will turn on our FB live and share our thoughts on the market for that session. If you like our videos, remember to click “Like” and “Share” to your friends.

We would like to highlight that these examples above are not a suggestion for a BUY or a SELL recommendation and it is more for a case study reference material for the future. 

M+ Wiz for the traders!

Share:

Share on facebook
Share on twitter
Share on linkedin
Share on telegram

More Posts

technical focus

Technical Focus – VS

One of the leading integrated Electronics Manufacturing Services (EMS) providers in the region, supported by multinational customers from Europe, Japan and US. Newly built 413,682-sqf production plant at i-Park Senai Airport City will cater for several new product models. Compelling prospects, riding onto the increasing adoption of emerging technologies in the Industrial Internet of Things (IIoT) and enhanced communication posed by 5G. Technically, price has experienced a short-term breakout above RM1.47, targeting the next resistances at RM1.55-1.60 with long term target at RM1.75.

market pulse

Dour trend still on horizon

The FBM KLCI finished the week lower last Friday, as foreign funds turned into net
seller; the net selling stood at RM72.6m, snapping the 4 days of inflow by the
foreign funds. However, the local bourse may see bargain hunting activities
emerging on the back of declining daily Covid-19 confirmed cases, while waiting
for Malaysia’s inflation rate that will be released this Friday. Meanwhile, both the
CPO and crude oil price declined, while Baltic Exchange Dry Index rose to 4,275, its
record high since 2009.

macquarie structured warrants 20200914

HSI warrants take on centre stage last week

The warrants market witnessed an overall lower trading activity last week partly due to the shorter trading week as Bursa Malaysia was shut on Thursday in conjunction with the Malaysia Day holiday. The total warrants turnover for the week came in at RM237.8mil versus RM268.9mil in the previous week

technical focus

Technical Focus – HARBOUR

An integrated logistics services provider, shipping and engages in construction works, heavy lifting and haulage as well as property development with established footprint extends across the Intra-Asia region. Capitalising on the increasing charter and freight rates that was stemmed by the global supply chain disruption following the shortage of vessels, coupled with the improving trade activities. Current price at RM1.01 is trading at a discount to its book value per share of RM1.12 which was recorded in 3QFY21. Technically, traders may anticipate for a short-term breakout above RM1.01, to target next resistances at RM1.06-1.13 with long term target set at RM1.20.

soft-landing-after-a-choppy-trading-week-m-online