sherlock's sharing
Time to avoid export and penny stock
dear all,
based on my experience,market should be correction very soon.
as you can see,in order to attract retailers to catch at higher price,various penny stock with weak fundamental is aggressively release positive news,like m3,mtouche,xox,etc.
but as usual,syndicate immediately push up share second day morning,and then quickly sell their share to speculators.as an result,i saw quite a numbers of "open high close low" cases in past 2 day.
yes,syndicates are throwing their shares into market,their are ready to retreat.
so,i suggest you to stop buying penny stock,especially do not chase any rally,before a major penny stock correction that should come very soon.
quite a number of penny stock aldy rise by 80%-200% within last 3 month,but sorry to said,the rally was purely supported by hot money(syndicate),not fundamental,it had to be ended at certain point.
in three more week,listed company should started to release their 1st Q financial result,and no doubt,most of the penny stock wont be able to perform well.
reasonably speaking,if i were one of the syndicate,i will definitly don want to wait until then,otherwise i might get stuck with millions of lousy share.
so,the best way to do is spread good news to market,like aggrement signing,business collaboration,create rumors,or posting mis-leading blog(which is also quite a lot recently if you did follow i3 closely),stimulus buying interest,then sell as much as possible.
unfortunately,this is already happening.
other than that,i also notice USD starting to depreciate recently,from RM4.53 to RM4.40,i do not know will dollar continue to depreciate under trump's policy influence or not,but i think it is safe to believe dollar's rally had ended,so we should see stronger Ringgit going forward,especially before 14th General election.
when Ringgit rebound,export denominated company should generally downgrade by market,due to expectation on future earning erosion.
by the time Ringgit rebound to RM4.00-4.20,we shall see 10-20% of share price retracement of export companys.
so,just avoid export companys and penny stocks,if you dont want to get burn and lose your hard earned money.
just for sharing:)
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Discussions
3 people like this. Showing 50 of 56 comments
do you think syndicates will let speculators escape and instead trap back themselves (syndicates)?
2017-04-14 08:19
currency is probably neither a positive or negative factor.
B Graham and Value investors very popular around here , isn't it.?
I suppose we can all put the financial information in a spread sheet, apply a magic formula, and puff, out comes the answer...............and wait, and wait and wait for the magic formula to work its magic.
But B Graham died a long time ago, even before there is the internet.
Nobody dreams of using a horse carriage travelling to work, but people don't mind being suckered...if it is about a possibility for some money.
On stock picking, if I am to recommend one guru, one tip, it would have to be William O Neal and his CANSLIM....go google it your self
On the objective of all good strategies........don't get killed if wrong, makes a killing when right. If you can do that, you can be rich as KYY.
All chemical reactions need a catalyst. Have you got a catalyst? How strong is the catalyst? Is it reliable, dependable? Got a sponsor/ sponsors?
I will end this with 3 quotes from him..................
Quotes
"Since the market tends to go in the opposite direction of what the majority of people think, I would say 95% of all these people you hear on TV shows are giving you their personal opinion. And personal opinions are almost always worthless … facts and markets are far more reliable."
"The whole secret to winning and losing in the stock market is to lose the least amount possible when you're not right."
"What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower."
2017-04-14 08:48
USA successfully launch MOAB. War with north korea is unavoidable. time to get out..
2017-04-14 09:16
Taiko Icon8888 is right.
Provided there is no war of course.
Else everything would go "lau sai".
2017-04-14 09:26
what seems low and cheap generally goes lower."
Too bad for all the new students of Value Investing. You are going about it the wrong way.
2017-04-14 09:34
What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower." THATS IS PROVIDED U ACT BLINDLY WITHOUT VALUING UR STOCK PROPERLY & DETERMINING THE MARGIN OF SAFETY LOH...!!
2017-04-14 09:37
Lets think of it, if this time foreign fund purposely make hot Malaysia local market to attract locals chase high. Suddenly dump all, all speculators die die die . HuhU . Tengok wayang wayang.
2017-04-14 10:38
What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower."
this is a statistical fact. what to do with this fact is always...the risk reward of the market.
============================
What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower." THATS IS PROVIDED U ACT BLINDLY WITHOUT VALUING UR STOCK PROPERLY & DETERMINING THE MARGIN OF SAFETY LOH...!!." THATS IS PROVIDED U ACT BLINDLY WITHOUT VALUING UR STOCK PROPERLY & DETERMINING THE MARGIN OF SAFETY LOH...!!
2017-04-14 10:45
It's been a long time Malaysia used to be an export oriented industry. These export business do not intend to rely on favorable currencies to earn money, period. The fact is Malaysia has only roughly 30million population, the world is still too big. Why constrain yourself from finding more opportunities?
2017-04-14 10:55
Do ppl ever hear about life after disaster? Every crisis will strengthen its ability and immune system.
And I belief that!
2017-04-14 11:18
yin yang is universal law.
by Octopus > Apr 14, 2017 11:18 AM | Report Abuse
Do ppl ever hear about life after disaster? Every crisis will strengthen its ability and immune system.
And I belief that!
2017-04-14 11:20
yin yang is universal law
just make sure long knife of the night end before you are dead.
2017-04-14 11:35
In d 60s, 70's, 80's everyone buy through phone to his/her remisiers. Now, people use smart phone, ipad, iphone at at office, supermarkets,at seaside resort, on holidays oversea, etc. That's why trading hits 4 to 5 billions on some days. Also, participation is widespread, young executives, etc. No more uncle & auntie only. Situation v different la.
2017-04-14 12:22
Calvin must correct the statement loh!
Don't sell export stocks like gloves or oil palm where Malaysia has an edge.
Sell all penny stocks without fundamental
Must work hard to uncover gems among overlooked penny stocks.
And always buy low and once fly away better don't chase.
2017-04-14 12:40
you have no control over the market
but you certainly can control your portfolio.
2017-04-14 13:13
NOT AGREE. PENNY STOCK LIKE RGB IS BETTER THAN BLUECIP. BLUCHIP ARE OVERPRICED!!!!
2017-04-14 14:03
pilindo....
if it is bear market....penny stocks will die until mother father cannot recognise.
2017-04-14 14:04
stockmanny
INARI was a penny stock. just 32cent. and Market cap is just 160mil. but now multi bil company. you have to look at fundamental of the company. that was happened to me when i bought Inari at 32cent.
RGB is same thing. look at fundamental.
2017-04-14 14:12
forget about bear or bull. just look at the company fundamental.
bear or bull, i less worry if i invest in REIT
2017-04-14 14:19
ks
I have no anxiety, no problem with my portfolio.
if it is bear market....penny stocks will die until mother father cannot recognise....that, is definitely true.
2017-04-14 14:24
I don't have penny stocks in my portfolio, and I never will
I don't need penny stocks to have good returns.
I am good enough.
2017-04-14 14:27
hang pig head sell dog meat is what so called value investors are good for.
Dynamic investors never have any problems because Dynamic investors are honest about themselves, honest about the market.
2017-04-14 14:38
QUESTION stockmanny,
If a company EPS 20sen, NTA rm1.5, dividend 7%, new expansion next year, at price 80sen,
what would you do?
are you stick with your philosophy?
2017-04-14 14:40
I dont think North Korea will have much impact on profitability of Malaysian export companies/ small caps.
2017-04-14 14:42
another monster penny says market crash, as no stock has risen 200% especially penny
2017-04-14 15:02
where got like that one?
UESTION stockmanny,
If a company EPS 20sen, NTA rm1.5, dividend 7%, new expansion next year, at price 80sen,
what would you do?
are you stick with your philosophy?
2017-04-14 15:29
only in your dream
UESTION stockmanny,
If a company EPS 20sen, NTA rm1.5, dividend 7%, new expansion next year, at price 80sen,
what would you do?
are you stick with your philosophy?
2017-04-14 15:31
ks
if I quit now, I am up 40% for the year.
what stress?
don't know the meaning of stress.
2017-04-14 16:45
In a bull run year, penny stocks don't run for 4 months only. Refer to charts or date from history, it runs for 12-15 months with some corrections.
2017-04-15 14:35
agree
y yapyk > Apr 15, 2017 02:35 PM | Report Abuse
In a bull run year, penny stocks don't run for 4 months only. Refer to charts or date from history, it runs for 12-15 months with some corrections.
2017-04-15 14:42
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soojinhou
Q1 export data is solid. U want to sell export before q1 reports are out? What makes u think rm will strengthen? Foreigners might have poured in a lot if money into bursa, but do u know they have been selling Malaysia bonds like there's no tomorrow?
2017-04-14 07:07