M+ Online Morning Market Buzz - 30 Jan 23

Dow Jones: 33,978.08 pts (+28.67pts, +0.08%)
⬆️ Resistance:  34900
⬇️ Support:  32700

FBM KLCI: 1,497.55 pts (-0.84pts, -0.06%)
⬆️ Resistance:  1540
⬇️ Support:  1470

HSI Index: 22,688.90 pts (+122.12pts, +0.54%)
⬆️ Resistance:  23200
⬇️ Support:  21900

Crude Palm Oil: RM3,902 (+RM121, +3.20%)
⬆️ Resistance:  3990
⬇️ Support:  3650

Brent Oil: $86.66 (-$0.81, -0.93%)
⬆️ Resistance:  90.90
⬇️ Support:  83.80

Gold: $1,928.04 (-$1.17, -0.06%)
⬆️ Resistance:  1990
⬇️ Support:  1880

M+ Online Technical Focus - 30 Jan 23
Teladan Setia Group Bhd: Reputable property developer from Melaka

Trading Catalyst
• Marked their first milestone from the launching of their first project comprising of 294 units of residential houses and 44 units of shop offices in Taman Seri Selendang, Batu Berendam in 1997.
• Equipped with undeveloped land bank of approximately 1,100-ac and is actively looking to acquire more strategic land in Melaka.
• Balance sheet remains relatively healthy with net gearing at 0.3x; implying some room to undertake further external financing for land banking activities.
• Technically, traders may anticipate for a potential breakout above RM1.27 to target the next resistances at RM1.38-1.48 with long term target set at RM1.55.

Technical View

(i) TELADAN (S: RM1.14, R: RM1.38-1.48, LT TP: RM1.55, CL: RM1.13)

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

Economic Releases For The Week (30/1/2023-3/2/2023):

30/1/2023
MY - Malaysia's Producer Price Index, 12.00PM
EU - Eurozone's Economic Sentiment, 6.00PM
EU - Eurozone's Industrial Sentiment, 6.00PM
EU - Eurozone's Services Sentiment, 6.00PM
EU - Eurozone's Consumer Confidence, 6.00PM

31/1/2023
JP - Japan's Unemployment Rate, 7.30AM
JP - Japan's Retail Sales, 7.50AM
JP - Japan's Industrial Production, 7.50AM
CN - China's NBS Manufacturing PMI, 9.30AM
CN - China's NBS Non-Manufacturing PMI, 9.30AM
JP - Japan's Consumer Confidence, 1.00PM
EU - Eurozone's 4Q22 GDP Growth Rate (Flash), 6.00PM
US - United States' Chicago PMI, 10.45PM

1/2/2023
JP - Japan's Jibun Bank Manufacturing PMI, 8.30AM
MY - Malaysia's S&P Global Manufacturing PMI, 8.30AM
CN - China's Caixin Manufacturing PMI, 9.45AM
EU - Eurozone's S&P Global Manufacturing PMI, 5.00PM
UK - United Kingdom's S&P Global/CIPS Manufacturing PMI, 5.30PM
EU - Eurozone's Unemployment Rate, 6.00PM
US - United States' ISM Manufacturing PMI, 11.00PM

2/2/2023
US - United States' Federal Reserve Interest Rate Decision, 3.00AM
UK - United Kingdom's Bank of England Interest Rate Decision, 8.00PM
EU - Eurozone's European Central Bank Interest Rate Decision, 9.15PM
US - United States' Factory Orders, 11.00PM

3/2/2023
JP - Japan's Jibun Bank Services PMI, 8.30AM
JP - Japan's Jibun Bank Composite PMI, 8.30AM
CN - China's Caixin Services PMI, 9.45AM
CN - China's Caixin Composite PMI, 9.45AM
EU - Eurozone's S&P Global Services PMI, 5.00PM
EU - Eurozone's S&P Global Composite PMI, 5.00PM
UK - United Kingdom's S&P Global/CIPS UK Services PMI, 5.30PM
UK - United Kingdom's S&P Global/CIPS UK Composite PMI, 5.30PM
EU - Eurozone's Producer Price Index, 6.00PM
US - United States' Unemployment Rate, 9.30PM
US - United States' S&P Global Services PMI, 10.45PM
US - United States' S&P Global Composite PMI, 10.45PM
US - United States' ISM Non-Manufacturing PMI, 11.00PM

Market update: The FBM KLCI has ended marginally below 1,500 dragged by the weakness on the banking sector as BNM maintained the OPR at 2.75%. However, with the positive sentiment from Wall Street, we believe the buying interest may spillover to the broader market, providing an upside towards the lower liners, especially the technology sector. Global stock markets could see further recovery on the back of decent US GDP data coupled with the recovery theme from China, which may boost the recovery further going forward. Commodities wise, the Brent crude oil is trading along USD86-87 zone, while the CPO price is hovering above RM3,900/MT. 

Sector focus: We believe the O&G sector could trade on a positive note until the upcoming reporting season amid firmer Brent oil price. With the Nasdaq surged near 1% overnight, the technology sector may trade higher for the near term. Malaysia PM Anwar Ibrahim is visiting Singapore today to promote digital economy and green economy, and investors may anticipate discussions on KL-SG HSR.

Stocks to watch: 
Building material: CMSB, KSSC, LIONIND, PMBTECH
Technology: EG, IQGROUP, LGMS
Medical-related: CENGILD, KOTRA
Consumer: CYL, MFLOUR
O&G: MHB, YINSON
Finance related: AFFIN, PPJACK
Others: AXIATA, MBMR, PTRANS, SYF, TOYOVEN, WPRTS

Source: M+ Online

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