Tuesday, April 24, 2007

Swiber rallied again!

STI hit 3360 before rebounding close to 3400 before closing down -13 today. Volume is rather low, half of average volume over the past couple of days. Down day with low volume is actually a good sign, which means this might just be a normal pullback after breaking record high.

Swiber went up as high as 1.90 before closing +0.110 at 1.850. This is on an interview with Swiber reporting that they are looking for partners to enter the middle east area within this year. Just last week they reported opening a branch at brunei to get more contracts for their group. Amazing management with expansionist ideas, I like it!

Offshore/marine sector seems to be the play today, with lots of counters breaking out of highs.

Another thing to note here might be the extradition treaty with indonesia was signed. That might mean that Indonesia resume the supply of sand and granite. Construction counters will surge if that news is confirmed. In the meantime, shorterm trend for CSC and yongnam is down. Such a huge queue to sell is blocking the advance of these counters. Anyway, since I'm going to hold for long, it doesn't matter.

I'm learning how to do FA now, to compliment my TA skills. Reading up on CANSLIM theory of stock selection. Eventually I'll progress to value investing. Learnt a lot about PE, PEG, and basically what to look out for in the financial report. When I'm a bit more free, I'll do a FA on Swiber because I just received their nice annual report last week. Just browsing through it, I liked it already. Their earnings per share increase 87% from 05' to 06', from 2.31 (US cts) to 4.31 (US cts). Phenomenal!

COSCO! Coming so close to my target to buy! There's this piece of news that they won some 338 million contract, so hopefully it won't cheong too high for me to accumulate. My support for cosco is 2.77/2.78, so I'll buy from there. Since market sentiment is not strong yet, I think i'll just buy small lots (<5) first, add more if it's okay.

April 30th is also Cosco's 1Q results.

Europe a sea of red. Dow at +8 now