Wednesday 23 January 2013

Trading Stocks - Public Bank | Maybank | Sime Darby | Axiata | CIMB | Digi | Tenaga | Genting


Public  Bank’s  longer  term  uptrend  is  intact  although  the  selling pressure seen in the past few days has not eased. Strong support is expected at RM15.30 and further supports can be seen at RM15.00 and  RM14.65.  However,  buying  could  make  a  return  if  the  stock closes  above  RM15.70  and  a  purchase  can  be  made  if  it  sustains above this level. The price targets are RM16.00 and RM16.40.
Maybank’s downside risk has increased after closing below the 200-day MAV line for 2 days in a row. Traders may opt to sell the stock if it  stays  below  RM8.90, with  supports  seen  at  RM8.75  and  RM8.45. A sustained close above RM8.90, however, could trigger buying but strong resistance lies at RM9.20.
Sime appears to have found  support after holding above RM9.15 in the  past  2  days.  A  purchase  can  be  made  on  a  close  above yesterday’s high of RM9.25,  with  a  close  below  RM9.15  as  a  stop-loss. The price targets are RM9.50 and RM9.80, and both levels have to  be  violated  to  nullify  the  downside  bias  seen  in  the  past  year. Failure  to  sustain  closes  above  RM9.25  could  see  the  stock  trade lower. Supports are at RM9.00 and RM8.70.
Axiata  appears  to  have  found  support  at  RM6.20  after  forming  full bodied  white  candle  yesterday.  Buying  should  continue  if  it  can maintain  above  RM6.40  and  a  purchase  can  be  made  on  a  close above this level, with a close below RM6.20 as a stop-loss. The price targets are at RM6.60 and RM6.80. However, selling will continue if the stock fails to stay above RM6.40 and supports lie at RM6.00 and RM5.60. Downside risk will increase if RM5.60 is broken.
CIMB  appears  to  have  found  support  rebounding  off  the  round figure  of  RM7.00  yesterday.  A  purchase  can  be  made  if  it  closes above  RM7.25,  with  RM7.00  as  a  stop-loss.  The  price  targets  are RM7.55 and the strong resistance of RM8.00. A violation of RM8.00 is needed to end the sideway move of the past 1 year. Failure to get above RM7.25 could see the stock trend lower. Strong supports can be found at RM6.90 and RM6.70.
DiGi could rebound after forming a “Hammer” yesterday. A position can  be  initiated  if  it  closes  above  RM4.95,  with  a  close  below RM4.80  as  a  stop-loss.  The  price  targets  are  the  recent  high  of RM5.35 and RM5.50, the violation of both should extend the longer term uptrend. Failure to get above RM4.95 will likely see the  stock trade lower and selling may intensify on a close below RM4.50.
Tenaga’s uptrend remains  intact  as  it  had  stayed  largely  unscathed during the recent selling. A position can be initiated if it maintains a close above RM7.00, with a close below RM6.80 as a  stop-loss.  The price  targets  are  RM7.20  and  RM7.50.  Selling  may  take  over  if  the stock  closes  below  RM6.80  and  support  is  anticipated  at  RM6.80, with a stronger one at RM6.50.
Genting’s rebound looks intact after it continued to stay above the 200-day  MAV  line.  Traders  may  opt  to  purchase  if  it  stays  above RM9.50, with a close below RM9.50 as a stop-loss. The price target is  RM10.30,  if  the  recent  high  of  RM9.80  is  broken.  The  stock  may trade sideways if it fails to stay above RM9.60, with support seen at RM9.30 and RM9.00.  
Source: OSK

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