Morning Highlights
STI opens up at 2803.55 but continues to move in whipsaw.

Asian stock markets are trading higher today. Japan's Nikkei 225 was up 2.1%with carmakers and technology stocks giving the lead; Australia's S&P/ASX 200 up 0.3% led up by resource and bank stocks and South Korea's Kospi Composite gained 0.7% with South Korean blue chips up in subdued trade.
• SGX is to launch Gold, Fuel Oil and Coffee contracts in Q1
• MIIF broke high of 0.465, to wait for setups
• Ascott Reit broke high of 1.10, to wait for setups

Our pending order for CapitaMall Asia has triggered at opening moves but we have exited our position at 2.43 due to heavy selling on the stock. We find that this counter is difficult to ride, therefore, is better to exit early. (Update 10:46)

Since Index is near critical resistance level at 2803.51, we advise to avoid trading new positions for the time being to prevent sudden knee jerk reaction. We will continue to trail existing positions closely.

U.S. News Updates:
Most U.S. stocks rose for a third day after the Federal Reserve said the economy is improving and gains in metal prices lifted raw-material producers, overshadowing declines in energy companies and banks.
Alcoa Inc., Home Depot Inc. and Verizon Communications Inc. gained at least 1% as the Fed’s Beige Book report said the economy improved “modestly” across the U.S. from October to mid-November as consumer spending increased. Exxon Mobil Corp. and Schlumberger Ltd. led energy shares lower as crude plunged on an increase in inventories, while JPMorgan Chase & Co. fell on an analyst’s prediction that revenue may fall by $3 billion if most derivatives trades move to exchanges. (Bloomberg)
  • U.S. economy sheds 169,000 private-sector jobs in November: ADP
  • U.S. manufacturing gauge shows continued expansion but at slowed pace
  • U.S. pending home sales index rises for 9th straight month
  • U.S. economy improving “modestly” – by Beige Book
  • General Motors Co's chief executive Fritz Henderson (left) abruptly resigned on Tuesday, after the company's board decided that the carmaker needed to push its restructuring faster under new leadership.

Other News:

  • Gold closes above $1200 an ounce for the first time
  • HSBC’s China services sector Business Activity Index rebounded to 57.1 in November from a 4-month low of 56.5 in October.
  • South Korea plans Incheon International Airport IPO in 2010

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 KLAN Keppel Land 3.22 3.08 3.36 PROFIT- CLOSED at 3.29

2 NOBG Noble Group 3.11 2.97 3.25

3 CMAL.SI CapitaMall Asia 2.40 2.24 2.56 PROFIT – CLOSED at 2.43

4 EZRA EZRA Holdings 2.20 2.14 2.26

5 UTOS UOL Group 3.79 371 3.88 3.87 Took HALF PROFIT at 3.92. CLOSED all at 3.88

Stock Prices last updated at 16.38 (Singapore Time)

Afternoon Highlights

Market is trading in a tight range, with no clear direction.

  • CapitaCommercial broke high of 1.17, to wait for setups.
  • Epure broke high of 0.655, to wait for setups.

The United Nations on Wednesday predicted a fragile, Asian-led recovery next year from the world financial crisis, but said the risk remained of a "double-dip" recession if governments rapidly ended support. (Business Times)

Hong Kong stocks ended up 1.19% for a 4th consecutive day of gains, with banks and Chinese property shares leading the rise.

Mitsubishi Motors and France's Peugeot are reportedly negotiating a capital tie-up that could give the French firm a 30% - 50% stake in the struggling Japanese Automaker; allowing Peugeot to potentially become the top shareholder.

In Summary,

Index managed to close at 2808.18, above resistance level, up 11.84 points from previous close with higher volume of 1.393 billion traded today.

We have re-entered our position for CMA at 2.50 just before market close. We have projected to sell our position at 2.56 in tomorrow's session, with stop loss placed at 2.43.