Dont patronise people. There r reasons behind crystall ball. Some of which r company's prospect, while others r based on technicals, momentum trades, speculative trades, and overall market direction, which by the way is showing green shoots. Lets hope the index can crack 1729 strong resistance and otw to its technical objective of 1850/60.
Technical-wise, price dropped exactly at golden ratio 61.8% at 0.54 for the 0.34 to 0.84 move. This was the 1st bloom. Golden ratio retracement is encouraging, as it is the fundamental block of life for growth. 2nd bloom has started. All time closing high of 0.84 is only 10 cents away. Once this is taken out decisively, it's technical objective would take it to 0.84 + (0.84 - 0.54) = 1.14. As for its fundamental prospect, EPS of 10 cents was mostly generated in the last 2 quarters. Earnings momentum would dictate that coming quarters' earnings would continue, as it was not a one-off one quarter earnings upside surprise - as proven by 2 consecutive quarters' earnings already. Conservatively taking into account some strengthening of the ringgit, next year EPS = 10 x 1.5 (instead of 2) = 15 cents. At PE of 8, fair value would be 1.20. So, just a matter of time for the share price to adjust upwards, and normally share price would overshoot its fair value on its upward move before settling down around its fair value. Note that this was how Gtronics started when it moved from 0.30 to over 6.00. As far as momentum & speculative trades are concerned, they are just short term noises caused by stockists moving in and out of market based on prevailing short term market sentiments and momentum locally and abroad.
Peter123 your previous and current prediction is totally nonsense and very cheap, better go back study on this counter before writing any comments in this forum.
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....
Peter123
2,125 posts
Posted by Peter123 > 2016-04-22 09:51 | Report Abuse
afternoon you will see