Golden Energy – Is this a laggard coal play? (17 Feb 17)

Pursuant to Golden Energy’s (“GEAR”) compliance placement at $0.670, GEAR has not closed above $0.670 since its debut on 12 Dec 2016. In fact, GEAR has slumped 21% from $0.655 on 12 Dec 2016 to $0.520 on 17 Feb 2017. This underperformance is even more glaring as compared to +24% appreciation in Geo Energy’s share price over the same period. Is GEAR a laggard coal play? Let’s take a look at some … [Read more...]

Ernest’s market outlook (10 Feb 17)

Dear all, Happy Chinese New Year 元宵节! The animal spirits seem to have descended on our Singapore market! Our STI is one of the best performing indices with a blistering 7.6% year to date return. Our FSTS ST Small Cap Index has returned 4.6% for the same period. Have you benefitted from this rally? What’s next for our markets? S&P500 Just to recap what I have mentioned on 27 Jan … [Read more...]

Chart highlights on Midas, Sapphire, Sunpower, Terratech (9 Feb 17)

Dear readers, The animal spirits seem to have finally descended on our Singapore market! Our STI is one of the best performing indices with a blistering 6.4% year to date return. Our FSTS ST Small Cap Index has returned 3.8% year to date. I have highlighted four charts which (I feel) deserve attention. Do note the caveats below. Midas With reference to my write-up on Midas dated 3 Feb 17 … [Read more...]

Is Midas a recovery play in 2017? (3 Feb 17)

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Midas has recently announced contracts after contracts. Based on Table 1 below, it is especially evident that Midas is gaining traction (particularly from 23 Jun 2016 onwards) in winning orders from clients, especially from its 32.5% stake in CRRC Nanjing Puzhen Rail Transport Co., Ltd. (“NPRT”). However, investors do not seem to share this optimism as Midas has fallen approximately 12% from … [Read more...]

Ernest’s market outlook (27 Jan 17)

Dear all, Happy Chinese New Year! How is your Rooster Year so far? S&P500 and STI reached near, or at my near-term resistances. What’s next? S&P500 Just to recap what I have mentioned on 13 Jan 2017 (see HERE), I wrote “It is clear that S&P500 continues to on an uptrend amid rising EMAs. S&P500 closed at 2,275 on 13 Jan 2017. Since 8 Dec 2016, S&P500 has been … [Read more...]

Dairy Farm – hits 18 month high, all-time overbought since 1990! (27 Jan 17)

Dairy Farm hits another 18-month high on 27 Jan 2017. It has risen consecutively for the past six trading days and has surged 13.3% from an intraday low of $7.28 on 20 Jan 2017 to $8.25 on 27 Jan 2017. This has significantly outperformed the STI, as STI was only higher by 2.0% over the same period. How high can Dairy Farm go? Read on below for its chart analysis… Chart analysis Based on … [Read more...]

Ernest’s market outlook (13 Jan 17)

Dear all, STI performs to my expectations as it heads towards 3,040 (my eventual technical measured target price which I mentioned previously). What’s next? For the charts analysis below, you can cross – reference to my market outlook sent on 6 Jan 17 HERE. (Actually, my bi weekly market update should be done next week. However, I noticed that the market seems to be reaching some near-term … [Read more...]

ISOTeam on the verge of a potential bullish chart breakout (9 Jan 2017)

ISOTeam recently caught my attention with a surge in price, accompanied with volume. Based on Chart 1 below, ISOTeam has been trading in a tight range of $0.375 – 0.405 since 30 Aug 2016. ISOTeam closed unchanged at $0.395 on 9 Jan 2017. All the exponential moving averages (“EMAs”) are turning higher with 20D EMA on the verge of forming a golden cross with 50D EMA. Amid positive placed DIs, ADX … [Read more...]

Ernest’s market outlook (6 Jan 2017)

Dear readers, Two weeks ago, I mentioned that although Hang Seng is in a downtrend, it may rebound as oversold pressures build. Hang Seng jumped 928 points in the past two weeks. What lies ahead? S&P500 Index Just to recap what I have mentioned on 23 Dec 2016 (see HERE), I wrote “S&P500 is consolidating its gains for the past two weeks. It continues to be on a clear uptrend amid … [Read more...]

Sapphire – disposal of Mancala, implications and updates (30 Dec 16)

On the last trading day of the year, Sapphire Corp announced that it has entered into conditional sale and purchase agreements (collectively, the “SPAs”) with each of China Vanadium Titano-Magnetite Mining Company Limited (“CVT”) and Toe Teow Heng (“TTH”) relating to its mining services business, Mancala. Is this a positive or negative development? What are the implications? Let’s take a closer … [Read more...]

CWG chart looks strong, despite price consolidation (27 Dec 16)

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CWG International Limited (“CWG”), former Chiwayland, closed unchanged at $0.156 on 27 Dec 16. Based on Chart 1 below, notwithstanding the recent price consolidation, all its exponential moving averages (“EMAs”) are still rising strongly, indicative of an uptrend. OBV is at elevated levels despite the price consolidation (i.e bullish). Amid positively place directional indicators, ADX is around … [Read more...]

Ernest’s market outlook (23 Dec 16)

Dear readers, Two weeks ago, I mentioned that there is likely to be profit taking on the STI. STI has since fallen 85 points, or 2.9%. What lies ahead? S&P500 Index Just to recap what I have mentioned on 9 Dec 2016 (see HERE), I wrote “S&P500 is on a clear uptrend amid rising EMAs and ADX, on the backdrop of positive placed directional indicators (“DIs”). RSI closed around 77 on 9 Dec … [Read more...]

Singapore Medical Group tripled since Jul 2016! Any more upside? (22 Dec 2016)

Singapore Medical Group (“SMG”) has almost tripled from $0.142 on 26 Jul 2016 to close $0.415 on 22 Dec 2016. Against the backdrop of this meteoric rally, is there any more upside to this stock? First, description of SMG… Based on SMG’s press release, it was incorporated in 2005 and listed on the SGX since 2009. It is a private specialist healthcare provider with a network of 30 specialties. … [Read more...]

Ernest’s market outlook (9 Dec 16)

Dear readers, STI has hit highs last seen on Apr and Jul 2016, powered by our local banks. Can this sustain? Read on for more. S&P500 Index Just to recap what I have mentioned on 25 Nov 2016 (see HERE), I wrote “S&P500 is on a clear uptrend. All the exponential moving averages (“EMAs”) are rising with 21D EMA forming golden cross with 50D EMA on 10 Nov 2016. Amid positive … [Read more...]

Trading is easy, isn’t it? [4 Dec 2016] (Part 2)

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In my previous article “Trading is easy, isn’t it? [20 Nov 16] (Part 1) click HERE”, I have discussed the importance of one’s psychology in trading. However, I have only given a general outline on risk management and trading system which are also very important topics. In this article, I will elaborate on risk management compiled from various trading books and will add in my thoughts under … [Read more...]

DBS – hits 52-week high, all-time overbought since 1991! (1 Dec 16)

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DBS hit another 52-week high today. It has surged 19% from an intraday low of $14.97 on 9 Nov 2016 to $17.82 on 1 Dec 2016. This has significantly outperformed the STI by a mile, as STI was only higher by 6.0% over the same period. What has caused the sharp rally in DBS? Some of the possible reasons may be Since Donald Trump’s victory, the market has repriced in faster inflation in the … [Read more...]

Ernest’s market outlook (25 Nov 16)

Dear readers, S&P500 hits record high! Will STI follow suit? Read on for more.   S&P500 Index Just to recap what I have mentioned on 11 Nov 2016 (see HERE), I wrote “S&P500, after closing below its 100D exponential moving average (“EMA”) for six consecutive days, surged with volume and closed above its 100D EMA (currently 2,137) for five consecutive days. 21D EMA has just formed a … [Read more...]

Ernest’s market outlook (25 Nov 16)

Dear readers, S&P500 hits record high! Will STI move higher? Read on for more. S&P500 Index Just to recap what I have mentioned on 11 Nov 2016 (see HERE), I wrote “S&P500, after closing below its 100D exponential moving average (“EMA”) for six consecutive days, surged with volume and closed above its 100D EMA (currently 2,137) for five consecutive days. 21D EMA has just … [Read more...]

Starhub – all time oversold, price near five year low (22 Nov 16)

Starhub has plunged 30.3% from an intraday high of $3.96 on 3 Aug 2016 to trade $2.76 today. This is near a five year low. What has caused the sharp fall in Starhub? Some of the possible reasons may be Market is pricing almost a 100% chance of a rate hike in Dec. Furthermore, there seems to be rising interest rate expectations on faster than expected tightening in 2017; After IDA’s … [Read more...]

Trading is easy, isn’t it? [20 Nov 16] (Part 1)

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If somebody says his profession is a trader, what will you immediately think of? I believe most people would immediately flash across thoughts of fine dining, fast cars and effortless work. Is this really the life of a trader? If it is so easy, why don’t we all jump onto the “trader” bandwagon? In my opinion, trading or punting without consistent profits and plans is easy but it is not … [Read more...]