Morning Highlights:

The STI reacted to the overnight rise in Dow Jones and gapped up at today’s open. It might be an over-reaction. However, if the STI continue to trend upwards, traders should not hesitate to cover their short positions.

 

Meanwhile, we will have to stay out of the choppy market and observe further to verify if this is an over-reaction, i.e. if the market trend will resume downward.

 

At 9.45am, we had to cover our overnight positions. As of present, market is very choppy. 

 

Our Focus for today is on Blue Chips

 

Among the blue chips, OCBC remains as our favorite stock - the weakest in comparison to UOB and DBS. OCBC’s moving averages had crossed and is more likely to resume downward trending after the consolidation period.

 

Following next, we have Keppel Corp and F&N in our watch list too.

 

Mid Cap Stocks are weak today. We have identified a few potential stocks in play today. Refer to our Quick Picks Section.

 

Warning: The STI is still oscillating. If you are intend to trade today, be cautious!

 

Quick Picks: Here is a quick pick screen that we have designed to pick out potential stocks, both Bullish and Bearish. These are measured with emphasis on larger changes in price and volume.

Bearish Stocks:

 

Symbol

Name

Entry

SL

TSL

TP

Remarks

1

CACT

CapitaCommercial Trust

 

 

 

 

MA pointing downwards on daily chart. Wait for further confirmations to short.

2

JAYA

Jaya Holdings Ltd

 

 

 

 

MA pointing downwards

3

BIOS

Biosensors International Group Ltd

 

 

 

 

MA pointing downwards

4

HIPI

Hi-P International Ltd

 

 

 

 

MA pointing downwards

6

EZRA

Ezra Holdings Ltd

 

 

 

 

MA pointing downwards

7

IFAR

Indofood Agri Resources Ltd

 

 

 

 

MA pointing downwards

8

SWBR

Swiber Holdings Ltd

 

 

 

 

MA pointing downwards

9

OCBC

Oversea-Chinese Banking Corp

 

 

 

 

Look out for 6.57

10

FRNM

Fraser & Neave Ltd

 

 

 

 

Look out for 3.56

11

KPLM

Keppel Corp Limited

 

 

 

 

Look out for 6.53

12

GNTG

Genting International PLC

 

 

 

 

Chart turned, waiting for setup

 

On Hong Kong Stocks, we found Esprit Holdings Limited a potential stock in play.

Short sell at 43.95, Stop Loss at 46.85, Take Profit at 41.05

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Afternoon Highlights:

So far, the market is still directionless. We see a strong support at 2243.45. Shares are also going through consolidation.

We shall end for the day. Have a great weekend!