Posted by EmoTrader > 2012-09-10 15:48 | Report Abuse

Andy: PDT, that i try to explain to Mr rookiemy! Short is different from his way! Pdt can short stock!

Posted by andy118 > 2012-09-10 15:49 | Report Abuse

KLCI is red with anger so are most of us. Just have to keep our cool. Have a heineken beer to cool down. Cheers

Posted by KC Loh > 2012-09-10 15:52 | Report Abuse

passerby, can you work out for me how many call warrants issued? :)

Posted by rookiemy > 2012-09-10 15:54 | Report Abuse

andy118: Technically, short sell means "Sell at a higher price, buy back at a lower price". In Malaysia, rules change a little bit. If you don have the stock, you need to borrow then short. If you have the stock, why cant you sell 1st then buy back later?

As far as the IBs are concerned, do you think they need to borrow?

The key here is to identify where the market is going. A perfect scenario to short is 5 sep when the price broke below 1.03 ( sell down will continue) with big volume.

make sense?

Posted by andy118 > 2012-09-10 15:55 | Report Abuse

Just to clear the misunderstanding, I checked with Investopedia for the meaning of short selling.

Short selling is the " selling of a security that the seller DOES NOT OWN, or any sale that is completed by the delivery of a security borrowed by the seller"

Posted by rookiemy > 2012-09-10 16:03 | Report Abuse

EmoTrader: in fact I am imparting a very important trading skill. you really need to think outside the box to figure it out.

sell high buy low on a same day is consider day trading and enjoy a much lower intra-day brokerage.

Posted by EmoTrader > 2012-09-10 16:04 | Report Abuse

Haha Ok bro U win.

Posted by rookiemy > 2012-09-10 16:07 | Report Abuse

EmoTrader: It is not a matter of who wins. We are swimming in a pool full of sharks. There are certain sets of trading skills we need to acquire in order to swim along them.

Posted by 1688 > 2012-09-10 16:16 | Report Abuse

Rookie - perhaps your account has been granting some priviledge which we dont have? Sell first and buy back within the same day, yes, i heard it in some exchange, probably not BURSA..

Posted by KC Loh > 2012-09-10 16:23 | Report Abuse

systematic selling... c'mon! :)

Posted by passerby > 2012-09-10 16:28 | Report Abuse

KC: I'm outside for the time being, will do that for you when i'm free. Based on quick tabulation on CIMB IBs issue performed during last weekend & I can only recall the issue size for JCY-CG & CH are 100,000,000 units each. There are almost 90% free float of JCY-CG in public & 50% of JCY-CH free float in public hands up until 30 August 2012. CIMB IB gross sales value for the 2 issues are around RM 17 ~ 18 mil estimated & the most active activity was detected on May 2012.

Other IBs issues I didn't really go in details since I'm not interested in this counter SWs, I just wanna make a quite check to verify the what have been reported by the The Edge out of curiosity.

Posted by rookiemy > 2012-09-10 16:32 | Report Abuse

1688: It has nothing to do with priviledge.

If you have 10,000 shares of JCY which you bought at much higher price. On 5 Sep, say you sold off @1.02 (can you sell what you have?) then later you bought back 10,000 shares @0.92 (definitely ok). Your account will still refelcts 10,000 shares. However, an intra-day transaction (check with your remisier see if you can do intra-day) will be reflected in your account with a gain of 1k (i obmit charges for simplicity purpose).

the question remains why sell @1.02? why buy back @0.92 and not lower?

Posted by chongkonghui > 2012-09-10 16:55 | Report Abuse

If one can do that few times in a year... it will meet all his/her investment return target.

I did that for SHCHAN but now this counter become quite... Did that for GENM too....

Posted by KC Loh > 2012-09-10 16:56 | Report Abuse

thanks bro passerby! appreciate your help if you have the time. Dont worry if you don't have! :)

Posted by jacklintan > 2012-09-10 17:28 | Report Abuse

@KC Loh: I'm sure you're grabbing at .965 lool

Posted by assthrow > 2012-09-10 17:30 | Report Abuse

people.. there is a page on SBL (securities borrowing and lending) in bursamalaysia.com. there is the pool of stocks you can borrow........ ok??!! and licensed day trader is NOT market maker.

Posted by KC Loh > 2012-09-10 17:31 | Report Abuse

no, it has to be lower :)

Posted by Mat Cendana > 2012-09-10 17:43 | Report Abuse

Passerby, ever since you and alntm taught me about structured warrants, most of my trades are now of these. If the IBs are rigging it to their benefit, then speculators will be perennial suckers. That means I'm playing with fire here. Unfortunately, it's now very hard for me to leave warrants after being amazed by their returns. Yeah, I've been fortunate so far. Also, can't figure out a better bang-for-the-buck speculating... except for leveraged trading in futures markets. But will be cautious though in not putting up capital that I can't afford to lose.

Posted by jacklintan > 2012-09-10 17:49 | Report Abuse

Any good people can help me to comment on AFFIN? haha

Thanks.

Foot note: I have said sayonara to JCY. heheheh

Posted by aunloke > 2012-09-10 18:06 | Report Abuse

There is one write up about AFFIN in stock-unleashed.com, hope this will help.

Posted by passerby > 2012-09-10 18:07 | Report Abuse

Pak Ahmad Cendana: I share my views only, don't say I teach le...IBs make money regardless their issues in money or out of money.Good to hear that you'll be cautious & not putting up the capital that you cannot afford to lose. There are certainly better warrants option to pick out there compare to this one.

Certain instruments become less competitive at certain time & certain instruments become too competitive at certain time, you'll eventually realize that after some time.

Posted by Mat Cendana > 2012-09-10 18:09 | Report Abuse

Since you mentioned it about Affin, this is one of the counters that I like. Don't know what the short-term price range will be but I think it will do well for the investor over the longer run. I feel it is undervalued as compared to the other banking stocks.

Posted by aunloke > 2012-09-10 18:37 | Report Abuse

It's a fact that in the option market, leaving it to the market force, 75% of the option will be out of money. Fund operators buy option as an insurance to their holding. We have no option market here for our stock so lots of IB come out with this call warrant to attract the investors or rather speculators knowing fully well that it's a good way of making money, so when you buy call warrant you should know the odd against you and worst still if the sellers (IB) can manipulate the price.

Posted by lullaby > 2012-09-10 18:49 | Report Abuse

rookiemy@ do you mind to explain how do we actually profit from the trading technique that you just descibed? It sounds to me like eventually one will still be holding the same amount of stock at the same average price as before, with less loss after taken into consideration the intraday profits, which...is still a loss.

Chuck me an email too if you don't mind
lullaby918@gmail.com

Posted by rookiemy > 2012-09-10 19:59 | Report Abuse

lullaby: as long as the stock you are holding has fundamental, even though it is on a downtrend now, it will sure come back up again.

As for JCY, I could see at least 2 such opportunities.

1. sell @1.29 (break below 1.3 with high volume) buy back @1.07 on 23 Aug. A gain of 22 sen.

2. sell @1.02 buy back 92. A gain of 10 sen

if your average cost was 1.5, with these 2 trades, you are lowering your average cost to 1.18.

going forward, should the sentiment improve and the price rebound to 1.25, you may then exit with a slight profit.

Needless to say, such method works best for stocks with fundamental. As such I always avoid stocks which are fundamental lacking.

Having said, still it is better to have a trading plan before enter into a trade.

Posted by passerby > 2012-09-10 23:13 | Report Abuse

KC: As per request, here you go -

CIMB Issues:-
1) JCY-CG: Gross sales value = RM 18,761,684.24,
free float = 87,818,600 units
2)JCY-CH: Gross sales value = RM 5,863,368.25,
free float = 27,928,000 units

Maybank Issues:-
1) JCY-CJ: *Gross sales value = RM -347,975.76,
*free float = 370,100 units

AMMB Issues:-

1) JCY-CF: Gross sales value = RM 15,560,030.76,
free float = 76,782,200 units
2) JCY-HA: Gross sales value = RM 382,667.82,
free float = 3,244,700 units
3) JCY-CK: Gross sales value = RM 2,845,538.52,
free float = 15,354,500 units

OSK Issues:-

1) JCY-CE: Gross sales value = RM 4,253,206.24,
free float = 24,592,300 units
2) JCY-CI: Gross sales value = RM 11,852,851.09,
free float = 43,468,300 units
3) JCY-CL: Gross sales value = RM 1,689,307.36,
free float = 14,232,400 units
4) JCY-CM: Gross sales value = RM 41,061.45,
free float = 711,500 units

* data without the input from MM Maybank of month April 2012 not available(cannot read xlsx file)

free float = units in public hands
gross sales value = (units sold x vwap - units bought back x vwap)

The above tabulation are extracted from ANNOUNCEMENT PURSUANT TO PARAGRAPH 5.35(4) OF THE MAIN MARKET LISTING REQUIREMENTS month of April to August 2012 only.

Posted by KC Loh > 2012-09-10 23:19 | Report Abuse

i thank you for the effort and quick respond my friend. really appreciate your help!

Posted by lullaby > 2012-09-10 23:40 | Report Abuse

thanks passerby and rookiemy. So do we always go for the SW with less free float or it doesn't matter either way?

Posted by KC Loh > 2012-09-10 23:42 | Report Abuse

sincerest thanks passerby! :)

Posted by pjforsuccess > 2012-09-11 00:19 | Report Abuse

what is the intrinsic value of JCY NOW ? anyone knows how to calculate ? tq.

Posted by tonylim > 2012-09-11 00:35 | Report Abuse

KC , I suspect you will make a move at 92 and 89

Posted by KC Loh > 2012-09-11 00:37 | Report Abuse

:)

Posted by Taugeh > 2012-09-11 00:48 | Report Abuse

Well... KC is a careful person..most likely between 0.925 on 5/9 and 0.97 11/9, he will wait until it is rather stable before committing..

hahahaha,,,just a wild guess..come on,,

Posted by KC Loh > 2012-09-11 00:54 | Report Abuse

how you guys know i won't quit JCY? so many other counters available! :)

Posted by Taugeh > 2012-09-11 00:58 | Report Abuse

True..time to quit..got it

Posted by andy118 > 2012-09-11 06:03 | Report Abuse

Don't forget KC was once a banker. Shrewd with money. ha ha ha

Posted by datuk > 2012-09-11 08:51 | Report Abuse

KC...sudah cabut....hehehe

Posted by datuk > 2012-09-11 09:03 | Report Abuse

JCY ...nak tangkap marhin trader..be careful

Posted by KC Loh > 2012-09-11 10:03 | Report Abuse

i smell money.... hehehehe

Posted by DUnkin > 2012-09-11 10:10 | Report Abuse

so the ghost is really haunted me...

Posted by KC Loh > 2012-09-11 10:16 | Report Abuse

IB ghosts resting, Dunkin..... hehehe

Posted by EmoTrader > 2012-09-11 11:30 | Report Abuse

Very dangerous!!! Downtrend!!

Posted by 1688 > 2012-09-11 11:43 | Report Abuse

run for your life...

Posted by bursabulltrader > 2012-09-11 11:46 | Report Abuse

Be standby and get your free flow red wine....

Posted by surewinL > 2012-09-11 11:49 | Report Abuse

What a sad day? side line 1st

Posted by Mat Cendana > 2012-09-11 12:50 | Report Abuse

srewinL, that looks to be a prudent move. Going to wait and see first on the trend and direction - not clear indication of whether it is going up or down. This matter about Germany's constitutional court tomorrow doesn't help sentiments either. But there might be opportunities with other selected second and third liners.

Posted by yus7888 > 2012-09-11 13:22 | Report Abuse

Malaysia Market estimate to be downtrend, as Malaysia is being warned by Standard & Poor; also Petronas is not going to pay out high dividend to government, so Malaysia already got tight budget already. It is possible to downgrade Malaysia Credit rate.

Posted by KC Loh > 2012-09-11 13:26 | Report Abuse

My understanding is petronas will pay, but lower quantum! Oil went back up 130+ right?

Posted by KC Loh > 2012-09-11 13:28 | Report Abuse

Sorry usd 115 heading to 130.

http://www.arabnews.com/node/423819

Posted by yus7888 > 2012-09-11 13:32 | Report Abuse

KC Loh: Yes, lower Quantum to Government. Petronas problem now is their productivity drop, even with higher Oil price USD 96 now.
The actual factor of the downtrend is Malaysia being warn by Standard & Poor