Singapore and Malaysia Stock Market Technical Review 4-March

Posted: March 4, 2015 in Stock Tips

STI ChartMarket Review for STI: Singapore share prices opened lower with the STI down 1.44 points to 3,420.67.Singapore shares rose after new data showed China’s services sector grew modestly in February as new orders rose at their quickest pace in three months.
Market forecast for STI: Still STI is not in one trend we may expect it will move in the range of 3388 to 3456
Technical Indicators: RSI is at 51 and CCI is at 24.
Important Factor for today:-

  • It may be the most expensive city in the world for expatriates but Singapore is also once again the top city in Asia for this group when it comes to quality of life.
  • China Oilfield Technology Services Group will be delisted after the loss-making company failed to meet regulatory requirements for removal from the SGX watch-list.
  • Private equity funds worldwide sold a record US$456 billion ($621 billion) worth of investments last year, 67% more than in 2013, driven by a handful of mega deals and buoyant IPO markets in 1H2014
  •  CIMB Research believes listed property developers’ stock prices should sustain its growth going forward, if asset recycling activities start to occur via a trade sale, divestment to private funds, or to Singapore REITS.
  • Sete Brasil is looking for a solution with its lenders and shareholders with options ranging from restructuring debt to a full write-off, according to Upstream, the global Oil & Gas news source.
  • CNA Group announced a proposed placement of some 119 million new shares priced at S$0.0335 each that could rise up to S$3.79 million in net proceeds.
  • Blumont Group on Tuesday said that it has obtained in-principle approval from the Singapore Exchange for the proposed placement of 100 million new shares priced at S$0.01705 each that could rise up to S$1.67 million in net proceeds.

Market Review for KLCI:
The FBM KLCI index gained 4.29 points or 0.24% on Wednesday. Finance Index increased 0.01% to 16103.45 points, Properties Index up 0.01% to 1326.84 points and Plantation Index rose 0.19% to 7988.44 points. Market traded within a range of 6.87 points between an intra-day high of 1826.05 and a low of 1819.18 during the session.
Market Review for KLCI: The FBM KLCI index gained 4.29 points or 0.24% on Wednesday. Finance Index increased 0.01% to 16103.45 points, Properties Index up 0.01% to 1326.84 points and Plantation Index rose 0.19% to 7988.44 points. Market traded within a range of 6.87 points between an intra-day high of 1826.05 and a low of 1819.18 during the session.
The KLCI extended yesterday’s gains by ending 4.29 points higher at 1825.54, despite the lower overnight close on Wall Street due to slight decline in February’s auto sales. The gain in our benchmark index was underpinned by buying in heavyweight counters, led by YTL Corp.
Market forecast for KLCI: Higher closing of today’s trading session indicating market could be bullish by maintaining volume. Still there is a resistance to break 1830.
Technical indicators: RSI stood below the center line at 64.559 with its CCI at 121.129 Difference line of MACD performed at 12.305 above its signal line which performed at 12.444.
ECONOMIC FACTORS:

  • Malaysia is on track to reach high income status in five years due to skillful economic management amidst an uneven global recovery, says the International Monetary Fund. Robust domestic demand supported by sound macro-financial policies is driving strong, non-inflationary growth in the face of uncertain external conditions and declining commodity prices.
  • Shares of Mega First Corporation Bhd (MFCB) is bound to reach its highest since 1995 after it signed a shareholders agreement with Laos’ Electricite du Laos (EDL) and two other parties to develop Don Sahong hydropower project.
  • Foreign funds took profit on Malaysian equities on Tuesday with net selling at RM162.30mil after two days of net buying. foreign funds bought RM545.8mil of Malaysian equities but sold RM708.1mil.
  • 4Q earnings for 2014 were uninspiring despite more corporates meeting its earnings expectations.
  • Malaysia’s sovereign rating is unlikely to see a downgrade, despite a possible widening in the deficit due to lower oil revenues and high household debt because of its strong fundamentals.
  • The Malaysia Competition Commission (MyCC) has imposed a total financial penalty of RM247,730 on 15 infringing enterprises in relation to a price fixing agreement between 24 enterprises who are members of the Sibu Confectionery and Bakery Association (SCBA).
  • The Securities Commission Malaysia (SC), the Monetary Authority of Singapore (MAS), the Securities and Exchange Commission (SEC), Thailand and the Singapore Exchange (SGX) have signed a memorandum of understanding (MoU) to establish a Streamlined Review Framework for the Asean Common Prospectus.
  • Ni Hsin Resources Bhd will proceed with its investment in loss making Helios Photovoltaic Sdn Bhd, confident that it will become a major revenue and profit contributor to the group in the future.
  • CIMB Group Holdings Bhd and Mitsubishi Corp yesterday launched the Asean Industrial Growth Fund (AIGF LP) to channel Japanese corporates looking to invest in mid-tier Asean companies.
  • Malaysia’s exports likely increased 3.0 per cent in January from a year earlier while the pace of import growth probably slowed to 2.0 per cent.
Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s