Monday, March 26, 2007

Pac Andes is worth the wait

Today Pac andes did me proud!

I held that stock since last year April, when I started buying my second batch of stocks. I bought it because of a recommendation by DBS vickers and held it ever since. It didn't do well, but neither did it sink, more or less ignored by the market for the most of last year.

Because Pac andes is going to issue rights: 1 to 1 right to buy new shares of pac andes at 0.52, which is at a huge discount from today's closing price of 0.940, Pac andes was snapped up like crazy when market opened today. It went to an intraday high of $1 before receding to 0.940.

Overall looks good, with short term ema about to cross over longer term ema, and MACD cross over too. I identified 0.96 as the resistance level. Based on estimates from FA, this stock should rise be at least $1 since it's almost 70% of China fishery (and guess what, China fishery has excellent earnings growth rate, around 72% if i dun remember wrongly). One experienced forum user estimated it to be around $2.50. We'll see how this crazy stock can cheong this week.

CDL rallied again, jumping another 0.3 today to reach a intra day high of 14.7. With that, my CDL warrants had turned from -1.5k to +200 to 300. A big sigh of relief from me.

Based on charts, this mother of property stocks has more to go. Resistance at 14.6 had to be cleared convincingly. The increasing volume looks promising too. After all, CDL and a few other property counters (like capitaland, kepland) are hot sectors to focus on these few weeks. These are the stocks that propel STI to new heights. Once 14.6 is cleared, the next should be 14.8 then blast off to 15.2. Very tempted to cash in my profits after recovering from my losses, but I think I'll just wait a while more since the charts say so.

STI this week don't look too good. Firstly, there is a gap around 3150 that needs to be covered before we can go further up. 3140 thereabouts also happen to be the fibo retracement 38.2% target, so I guess that's about where STI might drop to. If it drops to there and rebound, bullish uptrend will still be intact. If it drops below 3050, I'll be worried. From the looks of it, unless there's another major news that rock the world, that seems remotely possible.

Swiber held steady around 1.23/1.24, which is around the price I bought at 1.24. Playing stocks is so much safer (and slower). I don't even have to worry about it when I'm not monitoring. Haha, such bliss.

Europe now is a mix of red and green. Dow's future is +4, which doesn't mean anything. We'll see how it closes tonight.