M+ Online Morning Market Buzz - 12 Dec 22

Dow Jones: 33,476.46 pts (-305.02pts, -0.90%)
⬆️ Resistance:  35100
⬇️ Support:  32800

FBM KLCI: 1,477.19 pts (+11.26pts, +0.77%)
⬆️ Resistance:  1520
⬇️ Support:  1440

HSI Index: 19,900.87 pts (+450.64pts, +2.32%)
⬆️ Resistance:  20400
⬇️ Support:  18500

Crude Palm Oil: RM3,995 (+RM52, +1.32%)
⬆️ Resistance:  4200
⬇️ Support:  3790

Brent Oil: $76.10 (-$0.05, -0.07%)
⬆️ Resistance:  90.30
⬇️ Support:  73.70

Gold: $1,797.32 (+$8.18, +0.46%)
⬆️ Resistance:  1850
⬇️ Support:  1740

M+ Online Technical Focus - 12 Dec 22
Cengild Medical Bhd: Medical centre expansion

Trading Catalyst
• Regarded as a specialised healthcare service provider in the diagnosing and treating gastrointestinal and liver diseases and obesity.
• To expand and renovate their existing medical centre at Nexus Bangsar South, Kuala Lumpur, by leasing additional floor space between 12,000-15,000 sqf to cater to current and future demand.
• Private healthcare services market to demonstrate stable growth over the long term in tandem with the higher budget allocation in the healthcare sector in recent years.
• Technically, price has formed a flag-formation breakout above RM0.465, targeting the next resistances at RM0.495-0.52 with long term target at RM0.575.

Technical View

(i) CENGILD (S: RM0.425, R: RM0.495-0.52, LT TP: RM0.575, CL: RM0.42)

S: Support, R: Resistance, LT TP: Long term target price, CL: Cut loss

Economic Releases For The Week (12/12/2022-16/12/2022):

12/12/2022
JP - Japan's Producer Price Index, 7.50AM
MY - Malaysia's Unemployment Rate, 12.00PM
UK - United Kingdom's Manufacturing Production, 3.00PM
UK - United Kingdom's Industrial Production, 3.00PM

13/12/2022
UK - United Kingdom's Unemployment Rate, 3.00PM
EU - Eurozone's ZEW Economic Sentiment Index, 6.00PM
US - United States' Inflation Rate, 9.30PM

14/12/2022
JP - Japan's Machinery Orders, 7.50AM
JP - Japan's Industrial Production, 12.30PM
UK - United Kingdom's Inflation Rate, 3.00PM
EU - Eurozone's Industrial Production, 6.00PM

15/12/2022
US - United States' Federal Reserve Interest Rate Decision, 3.00AM
CN - China's Industrial Production, 10.00AM
CN - China's Retail Sales, 10.00AM
CN - China's Unemployment Rate, 10.00AM
UK - United Kingdom's Bank of England's Interest Rate Decision, 8.00PM
EU - Eurozone's European Central Bank's Interest Rate Decision, 9.15PM
US - United States' Retail Sales, 9.30PM
US - United States' Industrial Production, 10.15PM
US - United States' Manufacturing Production, 10.15PM

16/12/2022
UK - United Kingdom's Retail Sales, 3.00PM
EU - Eurozone's Inflation Rate, 6.00PM

Source: Bloomberg, M+ Online

Market update: The FBM KLCI rebounded after a 5-day selldown and amid broad-based buying interest emerged in tandem with the positive sentiment across regional markets. However, given the pullback last week on Wall Street, the local bourse may trade in a range-bound mode this week ahead of a series of interest rate decisions from the US Fed, UK Bank of England, and European Central Bank. Nevertheless, investors will be looking forward to China’s further reopening and easing of Covid-19 restriction. Commodities wise, the Brent crude oil price stayed above USD76 per barrel mark, while the CPO price staged a rebound, hovering above RM3,950. 

Sector focus:  In view of further easing of Covid-19 curbs in China, we like tourism, airport, and consumer sectors. Meanwhile, the technology sector may consolidate after the decline on Wall Street overnight should indicate the cautious stance from investors on the upcoming US FOMC meeting.

Stocks to watch: 

Medical-related: ADVENTA, CAREPLS, CENGILD, OPTIMAX, UMC
Consumer: BJFOOD, FOCUSP, MFLOUR, PTRB
Technology: AGMO, FPI, KOBAY
Chemical: ANCOMNY, HEXIND
Automotive: DRBHCOM, EPMB
Property: IOIPG, TANCO
Others: CYPARK, HHGROUP, NESTCON, RGTBHD, TAFI, UZMA

Source: M+ Online
 

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