Wednesday, August 31, 2005

Properties back in play amidst oil scare at US$70

Creative and Property counters keep our index afloat. Amazingly, with oil price at US$70 yet we have a mix market of winners against losers and the volume although muted but at record oil price many would have expected a massacre. Just took a quick peek at yahoo finance and spotted US Govt to release reserves. This will put a stop to the scaling oil price. Underlying sentiment is still bullish. What we have now is uncertainty of the damage Katrina had caused. No one knows the exact damge to oil supply and the previous sessions are merely due to speculations of the damage. This storm could cause US some damage. But will it affect the rest of the world?

Since the start of the week, I have expected some rebound this week, at least had happened. The stocks has been sold down for 2 weeks! Surely human nature will come into play and bargain hunters will start hunting. Another question burns my mind....why is there a release of a bullish report of properties only today? Why as an outsider, I can see that property counters are the one to bet on and yet it took the experts so long to deduce? There isn't any news right from the start of the decline till today and yet the report has to come today. Did they buy when the property counters are pushing lows? Who are the ones who sold down Keppel at closing as reported in the previous posts. Sharks looming everywhere..... If you believe in market leaders, next up should be Marine plays...

Charts finally! : )

Capital Land: I just want to highlight that the next resistance area will be 2.96 caused by the gap down. Today's volume is 240% of previous. Too much for my liking. However, this volume could propel it to test the highs. But let's clear 2.96 first.

Ho Bee: The support 5.10 stood like a rock and it broke the 0.550 resistance and close at a historical high of 0.555 today. Volume is at least 40% more than previous session. I have been noticing how it was resilence to the bad market sentiment. Don't forget, this company posted a record results recently. So far no house has call for any rating. Being a small cap, how far can it goes? But the high can get higher as they are no overhanging shares. There will not be a big road block blocking it's way up.

Cosco Corp: 2.31 support was successfully tested. Volume of recent trading has been light. Do I Buy near at support and cut if wrong or do I buy when it breaks the 2.60 barrier? If I buy close to 2.31, how long do I need to babysit? History showed that the last major correction then consolidation is capped at 10 trading sessions....hmm...