FINANCIAL KLSE MALAYSIA STOCK MARKET TRADING PICKS

MARKET UPDATES :

• The FBM KLCI index lost 3.51 points or 0.20% on Friday. The Finance Index fell 0.03% to 14908.65 points, the Properties Index dropped 0.01% to 1187.03 points and the Plantation Index down 0.14% to 7750.86 points. The market traded within a range of 4.90 points between an intra-day high of 1720.08 and a low of 1715.18 during the session.

• Actively traded stocks include SONA-WA, AAX-WA, AAX, SUMATEC, VIVOCOM, IWCITY, MTOUCHE, SGB-PA, AWC and EKA. Trading volume decreased to 1639.08 mil shares worth RM1650.59 mil as compared to Thursday’s 1991.61 mil shares worth RM1953.98 mil.

• Leading Movers were BAT (+52 sen to RM54.50), IHH (+4 sen to RM6.72), MAYBANK (+4 sen to RM9.05), HLBANK (+6 sen to RM13.68) and PBBANK (+4 sen to RM19.14). Lagging Movers were HLFG (-32 sen to RM15.18), GENTING (-17 sen to RM9.43), RHBCAP (-8 sen to RM6.20), YTL (-2 sen to RM1.61) and GENM (-4 sen to RM4.52). Market breadth was negative with 378 gainers as compared to 396 losers.

• The KLCI erased yesterday’s gains and closed lower at 1717.96 points amid overnight losses in US market. The performance of our benchmark index was in tandem with most of our regional peers.

The CEO of Malaysia Airlines is stepping down in the midst of efforts to turn around the carrier that suffered the devastating loss of two passenger jets in 2014.

Christoph Mueller is resigning "due to a change in his personal circumstances," the airline's owner said Tuesday without providing further details. He took up the job in May 2015 on a three-year contract, but he will leave in September after less than half that time.

Mueller has been leading an ambitious restructuring of Malaysia's loss-making flag carrier that has included cutting unprofitable routes, slashing thousands of jobs and bringing in new managers.

Malaysia Airlines was already struggling with ballooning costs and stiff competition from rivals like AirAsia before disaster struck twice in 2014 with the mysterious disappearance of flight MH370 and the shooting down of flight MH17.

The airline was pulled from the stock market and taken private by Malaysia's sovereign wealth fund, Khazanah Nasional.

FINANCIAL KLSE MALAYSIA STOCK MARKET TRADING PICKS

MARKET UPDATES :

• The FBM KLCI index gained 0.67 points or 0.04% on Thursday. The Finance Index increased 0.12% to 14959.41 points, the Properties Index dropped 0.08% to 1189.26 points and the Plantation Index down 0.42% to 7775.89 points. The market traded within a range of 8.03 points between an intra-day high of 1729.13 and a low of 1721.10 during the session.

• Actively traded stocks include SUMATEC, EKA, KNM, AAX, SONA-WA, VIVOCOM, AIRASIA, PARKSON-CP, HHHCORP and AAX-WA. Trading volume decreased to 1629.37 mil shares worth RM1946.11 mil as compared to Wednesday’s 1847.82 mil shares worth RM2063.13 mil.

• Leading Movers were KLCC (+14 sen to RM7.39), SIME (+9 sen to RM7.99), RHBCAP (+5 sen to RM6.10), MISC (+7 sen to RM8.99) and PETGAS (+14 sen to RM22.10). Lagging Movers were UMW (-17 sen to RM6.78), AMMB (-7 sen to RM4.50), WPRTS (-6 sen to RM4.19), YTL (-2 sen to RM1.62) and MAXIS (-6 sen to RM6.01). Market breadth was negative with 364 gainers as compared to 437 losers.

• The KLCI inched up to 1723.78 points amid overnight gains in US market. The performance of our local bourse was in tandem with our regional peers following jump in China’s export.

Trading Stocks - MYEG | Brahims | Protasco | Hartalega | Tek Seng | BIG

MYE.G.  Services  may  trend  higher  after  sustaining  above  the MYR2.09 level to touch the 50-day  SMA line in its latest session. A bullish bias may be present above this point, with a target price of MYR2.20,  followed  by  MYR2.33.  On  the  other  hand,  it  may  turn sideways if it dips back below the MYR2.09 mark. Support may be found at MYR1.98, where  traders can  exit upon a  breach to avoid the risk of a further correction

Brahims  may rebound further  after recovering above the MYR0.93level to touch the 50-day SMA line in its latest session. A bullish bias may  be  present  above  this  point,  with  a  target  price  of  MYR1.07. However,  it  may  drift  sideways  if  it  cannot  hold  above  the mentioned MYR0.93 mark. Support may then be found at MYR0.88, where traders can exit upon a breach.

Protasco  was  testing  the  MYR1.54  level  in  its  latest  session.  The stock  may  climb  further  if  it  breaches  this  point  in  the  near  term, with  a  target  price  of  MYR1.66.  On  the  other  hand,  it  may  turn sideways if the MYR1.54 mark cannot be surpassed. Support may be found at MYR1.46, where traders can exit upon a breach.

Hartalega  may soon test the MYR4.90 level after moving above the downtrend line. The stock may climb further if it breaches this point in  the  near  term,  with  a  target  price  of  MYR5.16,  followed  by MYR5.56.  Meanwhile,  it  may  move  sideways  if  the  MYR4.90  mark cannot  be  surpassed.  Support  may  be  found  at  MYR4.44  where traders can exit upon a breach.

Tek  Seng  was  testing  the  MYR1.14  level  after  touching  the  50-day SMA  line  in  its  latest  session.  The  stock  may  trend  upwards  if  it crosses  above  this  point  in  the  near  term,  with  a  target  price  of MYR1.28.  However,  it  may  turn  sideways  if  the  MYR1.14  mark cannot  be  surpassed.  Support  may  be  found  at  MYR1.04  where traders can exit upon a breach.

B.I.G. Industries was testing the MYR0.735  level in its latest session. The  stock  may  climb  further  if  it  breaches  this  point  in  the  near term, with a target  price of MYR0.795, followed by MYR0.865. On the  other  hand,  it  may  consolidate  further  if  the  MYR0.735  mark cannot  be  surpassed.  Support  may  be  found  at  MYR0.675,  where traders can exit upon a breach.

Daily Market Update (EFORCE, UCHITEC, MAGNA)

Wall Street extended its gains for the second straight session as the Dow rose 1.3%, in line with the recovery in crude oil prices. Meanwhile, the S&P 500 rose 1.0%, erasing its monthly losses , led by gains in the financial sector (+1.4%) while the Nasdaq added 0.9%.

The FBM KLCI closed lower for the second straight session yesterday, spooked by the rout in China stockmarkets. The MACD Histogram has extended another red bar, while the RSI continues to hover above the 50 level. The immediate resistance will be envisaged around the 1,700 level. Support will be pegged around the 1,600-1,630 levels.


EFORCE (0065): Monitor for a breakout above the RM0.915 level. TP: RM1.00. SL: RM0.89.

UCHITEC (7100): Price has formed a BPC formation above the RM1.60 level. TP: RM1.80-RM2.00. SL: RM1.58.

MAGNA (7617): Monitor for a breakout above the RM1.06 level. TP: RM1.15-RM1.24. SL: RM1.00.

Daily KLSE Market News update

The FBM KLCI index gained 20.21 points or 1.21% on Wednesday. The Finance Index increased 0.91% to 14268.24 points, the Properties Index up 0.11% to 1136.99 points and the Plantation Index rose 0.35% to 7848.88 points. The market traded within a range of 16.38 points between an intra-day high of 1691.03 and a low of 1674.65 during the session.

Actively traded stocks include AIRASIA, AAX, APFT, SKH, SKPETRO, GENETEC, MINETEC, XOX, TIGER and JADI. Trading volume decreased to 1664.69 mil shares worth RM2278.63 mil as compared to Tuesday’s 1673.90 mil shares worth RM1648.28 mil.

Leading Movers were SKPETRO (+8 sen to RM2.05), MAXIS (+22 sen to RM6.42), DIGI (+15 sen to RM5.08), SIME (+20 sen to RM7.90) and GENTING (+17 sen to RM8.39). Lagging Movers were UMW (-8 sen to RM6.97), KLCC (-3 sen to RM7.02), KLK (-2 sen to RM23.88), GENM (-0 sen to RM4.31) and PET- DAG (-2 sen to RM25.00). Market breadth was positive with 478 gainers as compared to 375 losers.

The KLCI closed higher at 1691.03 points with last minute spike before the closing bell amid overnight gains in US Market following the better-than-expected manufacturing data. The performance of our local bourse was in tandem with our regional peers and lifted by buying interest in heavy weight counters such as SapuraKencana Petroleum, Maxis and Digi.com.

HK buys three German shipyards for RM1bil

Genting Hong Kong (GenHK) has acquired Nordic Yards’ three shipyards in Wismar, Warnemunde and Stralsund, Germany, for the consideration of 230.6 million euros (RM1.04bil). 

The global leisure, entertainment and hospitality company said in a statement that these purchases, along with that of Lloyd Werft last year (also in Germany), enabled GenHK to realise its global cruise ships fleet strategy over the next decade for its three brands - Crystal Cruises, Dream Cruises, and Star Cruises.

“The rapid growth of the world cruise industry, especially in China, has led to cruise ship order book reaching an all-time high,” said GenHK chairman and chief executive officer Tan Sri Lim Kok Thay.

“In order to ensure that the company can build the required number of cruise ships in the next decade for our global fleet expansion, it is strategic that we acquired shipyards that can build our cruise ships in a timely basis and in a more cost effective manner