Morning Highlights

Our Focus For Today is On Small Cap

The Straits Times Index gapped down and continue dropping. Currently trading on support at Friday’s low of 2638.38.

Malaysia Shares start with little changed, whereas Japanese Stocks tumble as the yen’s surge against major currencies hits shares of exporters. Australia, South Korea and Hong Kong also slip.

News Updates:

Index is testing previous support at 2631.48… (update:11:35)

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.  <The Quick Picks referred herein contain overnight positions from Last Week>

Bullish Stocks (Singapore)

Symbol

Name

Entry

SL

TSL

TP

Remarks
1 SINW Sinwa Ltd 0.495 0.44 0.55
2 CACT CapitaCommercial Trust 1.07 0.99 1.15
3 WLIL Wilmar International Ltd 7.01 6.74 7.28 Cancelled
4 TIAN Tianjin Zhong Xin Pharmaceutical Group 0.83 0.775 0.885 Cancelled
5 BIOS Biosensors International Group Ltd 0.67 0.635 0.705 Cancelled
6 AEMN Ascendas REIT 1.95 1.79 2.11
7 CDLT CDL Hospitality Trusts 1.54 1.47 1.61 Cancelled
8 TECH Technics Oil & Gas 0.625 0.585 0.665 Cancelled
9 MMPC Mermaid Maritime 1.26 1.10 1.42
10 RAMB Ramba Energy Ltd 0.635 0.475 0.795  
11 MTXE Metax Engineering Corporation Ltd 0.24 0.165 0.315
12 HUPS HupSteel Ltd 0.355 0.305 0.405  
13 CMIT Cambridge Industrial Trust 0.48 0.45 0.51
14 ASRT Ascott Residence Trust 1.02 0.99 1.05  
15 INTK Innotek Ltd 0.505 0.445 0.565 Overnight – Current Price at 0.485
16 FNON.SI Financial One Corp 0.42 0.34 0.475 0.50 Took Half Profit at 0.51
Current Price at 0.515
17 OKPH OKP Holdings Ltd 0.80 0.72 0.74 0.88 Took Half Profit at 0.95
CLOSED rest at 0.93 
18 KPLM Keppel Corp Ltd 8.28 7.90   8.66 Overnight - Current Price at 8.15
19 DMXT DMX Technologies Group Ltd 0.53 0.45 0.61 Overnight – Current Price at 0.50

Stock Prices last updated at 17.31 (Singapore Time)

Afternoon Highlights

Market is holding on to the support at 2631.48. Today’s drop is mostly dragged by Blue Chips especially Jardine Stocks, with Jardine C&C dropped by 0.52; Jardine Matheson dropped by 0.74 and Jardin Strategic dropped by 0.34. In addition,  Wilmar also suffered a drop of 0.35 till now.

Please note that we have cancelled our pending orders for Wilmar, Tianjin, CDL Hospitality, Technics Oil & Gas and Biosensors due to big retracement movement. Cambridge will keep in view as there is no price range though the chart is still ok. An increase in price range will be better.  

Mapletree Logistic Trust broke high of 0.76, wait for setups

In Summary,

Singapore Shares are exhibiting weakness, and the market closed lower with the index down 33.57points to 2629.25. 

The traded volume for today is only 2605.1 million, much lesser than that traded on last Friday… with Gainers/Losers at 115/440. We’ll have to see how market performs tomorrow and in the coming days for clearer direction.

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As the support is broken during the last hour of trading. It is not valid to conclude that the support has turned resistance. If the market trades below 2631.48 in the next few days, likely we will test the next support at 2560.15. However, we see this happening with low probability, though blue chips are weak now. Let’s just wait for further confirmations…

Latest News: (source from Warrants)

  • Singapore: Better IP Numbers; Improving Outlook - Singapore’s August Industrial Production (IP) came in better than expected with a strong 12.3% Year-on-Year (YoY) increase…
  • In Japan, watch out for the August CPI on Tuesday 29th September 09; August Industrial Production on Wednesday 30th September 09 and August Jobless Rate on Friday 2nd October 09.
  • In Hong Kong, August Retail Sales will be announced on Tuesday 29th September 09.
  • In the U.S, look out for September Consumer Confidence on Tuesday 29th September 09;2Q09 GDP and Chicago Purchasing Manager on Wednesday 30th September 09; September Initial Jobless Claims and August Pending Home Sales on Thursday 1st October 09 and September change in Nonfarm Payrolls and August Factory Orders on Friday 2nd October 09. 

Other News Updates from Last Friday:

  • U.S. orders for durable goods drop steeper-than-forecast 2.4% in August‏
  • Growth in U.S. new-home sales flattens in August, up 0.7%‏
  • Atlanta's Georgian Bank is 95th failure of the year; FDIC to take $892 million hit‏
  • leaders from the world's largest economies didn't set out specific economic and banking system reforms