Bursa has already been in a bear mkt. That is why this counter has dropped to a low of 17 sen, not seen in years. Following Dow's rebound last night, let's see how much further the mkt operator will bring us to.
Share prices do not go up or down in a straight line. They move like waves. So, if you are worried for any reason, you can take advantage of a rebound to sell into strength.
Do your own analysis and buy or sell at own risks.
Today, the mkt is so hot, stirred up by mkt operators of all sorts. Somebody asked me whether we are still in a bear mkt. I smiled and said, "This is how mkt works. We must not get carried away".
Somebody tells me oil counters jumped 20 to 30% yesterday. It was kind of crazy. I said this was because it had dropped the most drastically during this virus-hit period.
Honestly, IFCA is not bad either. From a low of 17 sen, it has recovered 47%, as of yesterday's closing price.
Will drop even lower coming weeks as q result is getting ugly coz their business surely affected badly started from overseas portfolio since Jan 2020 and getting worst now with diving economy graph worldwide. Shift to counters that will benefit from this crisis is the best choice.
Stock mkt is a rich men's game, with complex and diverse game rules, eg forward pricing, gap up/down, mkt catalysts, etc. Mkt has taught me not to be a smart alec as to predict share prices and time the bottom.
After this round of a mkt rebound is completed, if share price does come down more, I can restart my trade plan.
Someone suggests we should move to counters that will benefit from this crisis, eg the hottest theme of glove counters.
In this regard, let me share my views on glove counters: 1. Valuations are already very stretched after prices have spiked up; 2. Big boys and traders have already positioned huge trades at the start of this virus outbreak, taking good profits along the way, as and when prices are pushed higher; 3. Many countries, including China, have started to ramp up productions to meet global demand; 4. With many countries going into lockdown, virus situation could soon see a flattening of the curve(if there are no subsequent waves); 5. Risk-reward ratio is not compelling at all for traders at current price levels. In fact, the prices nowadays tend to move along with the broader market, with occasional spikes when virus cases spike up.
I have made some good profits from a glove counter. But it is probably too late for others to enter now. Longer-term investors should patiently wait for a major price correction.
IFCA would attract a fair amount of speculative play initially as it is deemed to be a strong candidate for GST implementation. We can expect better days ahead for IFCA only if it is finally shortlisted. GST business is an almost recession-proof business operation.
This is my views. Correct me if I am wrong. -------------------------------------------------------------------------------- pc007 Any immediate impact to this counter if PN decided to move on with GST implementation?
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
tressele
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Posted by tressele > 2020-03-30 12:22 | Report Abuse
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