Morning Highlights

Our Focus For Today Is On Property, Mid Cap, Small Cap and Commodity Sector

Singapore Market started easier on Wednesday in light trading as many investors started vacations for the New Year holidays.

We are focusing more on Small Cap. Commodity is fairly strong but do avoid Olam as this stock has suffered quite steep pullback from its previous high of 2.84 to 2.54. Moreover, the moving averages are also pointing down. Hence, it is likely for Olam to consolidate further till a breakthrough at 2.84.

  • SinoGrandness broke high of 0.45
  • Anwell broke high of 0.725

New Trade Opportunity with Noble. Refer to Mid Term Quick Pick 7.

Corporate Announcements
Keppel Corp has delivered West Vencedor to Seadrill Limited ahead of schedule and within budget, garnering a bonus of $100,000. The completion wraps up a record year of 13 rig deliveries by Keppel FELS, all of them delivered on time and within budget. The company was awarded a total of $2mn for early deliveries of most of these newbuilds.

News Updates:

  1. US Consumer Confidence Index rises to 52.9 in December – 3 month high.Consumers more confident about economy's prospects: Conference Board‏

  2. Standard & Poor’s/ Case-Shiller Index shows 7.3% Annual drop in home prices from October last year.

  3. Japan December Manufacturing PMI 53.8 in December, up 1st time in 3 months as shown in a survey, suggesting growth in production will continue due to demand from other Asian countries.

  4. Japan's government unveiled a long-term strategy on Wednesday aiming for real GDP growth averaging over 2% in the next decade by creating new demand in sectors such as the environment, health and tourism.

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 Yesterday>

Bullish Stocks (Singapore)

Symbol

Name

Entry

SL

TSL

TP

Remarks
1 CDLT CDL Hospitality Trusts 1.76 1.67 1.85
2 AEMN Ascendarsreit 2.11 1.97 2.25
3 SCGO SC Global Development 1.76 1.68 1.84  
4 E3B Wee Hur Holdings 0.59 0.545 0.635  
5 HIPI Hi-P International 0.745 0.71 0.78  
6 Hock Lian Seng 0.315 0.285 0.345 Triggered, Current Price at 0.325
7 HWHS Hwa Hong 0.54 0.49 0.59 Overnight, Current Price at 0.585
8 IFAR Indofood Agri Resources 2.20 2.06 2.34 Overnight, Current Price at 2.28
9 GENS Genting Singapore 1.20 1.14 1.26 PROFIT – CLOSED at 1.25

Here’s Our Mid Term Holding Opportunities:

Symbol

Name

Entry

SL

TSL

TP

Remarks
1 OCBC Overseas Chinese Banking Corp 8.83 8.15 8.55 9.51 Overnight, Current Price at 9.08
2 KLAN Keppel Land 3.38 3.14 3.62 Overnight, Current Price at 3.51
3 UTOS UOL Group 4.06 3.20 3.74 4.92 Overnight, Current Price at 4.09
4 DBSM DBS Group 15.48 14.34 16.96  
5 STEG Singapore Technologies Engineering 3.27 3.00 3.54  
6 IFAR Indofood Agri Resources 2.20 1.94 2.46 Overnight, Current Price at 2.28
7 NOBL Noble Group 3.29 2.95 3.63  

Stock Prices last updated at 17:05 (Singapore Time)

Afternoon Highlights

The market goes choppy and only starts moving higher after 15:45.

  • Lookout for Otto Marine
  • Trump Dragon broke high of 0.77
  • Hock Lian Seng clear 0.305 high (Refer to Short Term Quick Pick 6)
  • New Trade Opportunity for Hi-P. Refer to Short Term Quick Pick 5
  • DBS broke high of 15.32

News Updates:

  1. Consumers more confident about economy's prospects: Conference Board‏

In Summary,

Index closed in green at 2879.76, up 10 points, with 1.7572 billion traded. Volume has increased, which indicates good sign, outlook is bullish.

The strong Small Caps are Wee hur, HIP, Otto Marine, Oceanus, OSIM,Trump Dragon, Mermaid, Swiber and CWT.

Here is a list of companies that lodged prospectus: Tiger Airway, Debao Property, Ryobi Kiso, Sin Heng Heavy Machinery and Qingmei Group (For more info)