I have said before the rebound will be very strong and I am a 100% HY supporter and dumb dumb holder...RSS is permitted in Malaysia and 237 stocks are allowed for RSS....This is reality.
Margin call? Maybe....
But identity of the RSS applicant is kept confidential.
Monday should be a good show...so could be days and weeks after....good luck to us and make lots of $$ and please invest within your financial means.

People who tell u not to buy/sell until certain date or buy now.. think deeper and analyse how their calls may work in their favour/plan.

We'll know on Monday if the recent meltdown was the work of shortseller(s)... and the party/parties involved could be in this forum...making buy/sell calls...just don't offend the shark....they could guide u or screw u.

One thing for sure... the recent sell down was no ordinary profit taking and the strong rebound yesterday wasn't some white Knights trying to save a depressed stock.

Or BURSA CHAIN REACTION MASSACRE.

I think next time some seasoned traders will not just die die hold but will join in the horror show by taking profits...then buy back again when the stock is due to rebound strongly....then the horror movie will be called THE EXORCIST 2018...the horror show king of the decade.

Once bitten, even seasoned traders have learned a new lesson and will be able to take advantage should Horror Movie Part 2 shows again. One is in denial praying that it won't happen again. HY is a RSS approved security.

A falling knife is V shaped..it is formed with \ and /. If it's just | ...i call it fishing line.....lol

Price could recover to above 16 on Monday as the shortseller is still buying in shares.

Shell was one of the approved security for RSS... if it happens once, it could happen again!? Weak holders better don't play with margin here and make sure u can buy and hold onto the shares when RSS is in motion...otherwise u will make heavy losses that could've been avoided or minimised.

For those who are still in denial and waiting at train station RM10 or 8 or 6 Holland station..train has already departed and not sure whether will u turn in the near future...Happy waiting..hope 后会无期。

Where are the naysayers? Should at least congratulate HY holders... we've witnessed and weathered through the biggest storm never seen before even by the most seasoned traders.

Naysayers taking shelter...haha

Great show today after days of horror

I think Mr KYY should sue those who keep putting words in his mouth.

RSS has shown its ugliest and most unethical side....pity those who have to declare bankrupt after this horror show.

Local World Business Sports

Market not ready for open short selling yet

Posted on 3 April 2017 - 05:37am

Lee Weng Khuen
sunbiz@thesundaily.com

PETALING JAYA: The time is yet to come for Malaysia to have a more liberalised short selling market given that Bursa Malaysia has not reached its maturity level, analysts say.

An analyst who declined to be named said the basic requirement to have short selling is that it is a deep and broad market to ensure that the market won’t be controlled by any investor.

However, based on this criteria, he opined that it is not the right time to have greater short selling transactions.

“If you look at the trading volume, even though there has been an increase in total transacted value on Bursa Malaysia, these are mainly concentrated on a few stocks.

“Some stocks are not even traded throughout the day, so the market may not be liquid enough. I don’t think we’re ready for an open type of short selling,” he told SunBiz.

The analyst cautioned that with low trading volume for the whole market, any short selling activity could lead to a significant uptrend or downtrend of a particular stock due to the leverage effect.

Until recently, trading was relatively thin on Bursa Malaysia with less than two billion shares traded daily.

Recent weeks have seen a spike though, on the back of active foreign fund participation as well as market bullishness ahead of the general election. A total volume of three billion to four billion shares were traded each day last week. This compares with three million to five million for restricted short selling.

Hong Leong Investment Bank (HLIB) Research head of research Sia Ket Ee however opined that the market needs more mechanisms for price discovery eventually, when the market reaches a certain level of maturity. It is also seen as the fastest way to establish the fundamental value.

“By allowing short selling, you will see the market taking two-way views, then it will expedite the price discovery as the market is a collection of views from various types of investors,” he said.

When contacted, a fund manager opined that short selling should not be encouraged from an ethical perspective.

“I’m not so supportive of this idea because it will build volatility of the market,” he said.

Nonetheless, he said if the regulator were to provide more flexibility to the short selling activity, retail investors should also be given the chance to participate with sufficient rules and regulations put in place to protect the investors’ interest.

“Even for institutional funds (like us), short selling is not allowed. Our licence only allows us to long shares. Usually the traders and private equity managers are allowed to short sell the shares,” he said.

Recall that the restricted short selling (RSS) and securities borrowing and lending (SBL) were first introduced in 1996, but suspended barely a year later, following a meltdown in stock prices during the 1997 Asian financial crisis.

The trading instrument was reintroduced in January 2007, with a list of 100 eligible stocks. As of now, there are a total of 237 stocks that can be short sold. Currently, retail investors are still not allowed to participate in any short selling activity.

In February, Bursa Malaysia announced the revision of tick rule on short selling, which allows orders to be executed at the best current asking price or higher, instead of a price higher than the last done price.

In addition, investors are now allowed to borrow securities for the settlement of potential failed trades rather than be subjected to the buying-in process. With this facility, investors can now mitigate the costs of genuine trade errors in the market.

According to its CEO Datuk Seri Tajuddin Atan, there had been clear indication of market interest in Bursa’s RSS and SBL, with the total SBL size standing at RM4.9 billion at the end of January.

Last week, Bank Negara assistant governor Adnan Zaylani Mohamad Zahid was also quoted as saying that the central bank is considering easing rules on the short selling of government bonds, by allowing companies and insurers to short sell sovereign bonds to help them manage the interest rate exposure and generate more trading volume.

On this, the analyst said the short selling of government bonds could prevent overbought and overvalued conditions.

“When you allow the short selling mechanism, then it will have a check-and-balance on the existing price bubbles,” he said.

Share this news:     

RELATED ARTICLES

Bursa Malaysia revises short-selling, securities borrowing frameworks to ease liquidityRules in place for orderly short-selling activities: Bursa MalaysiaRetail investors cool on short-selling of sharesBursa Malaysia launches Islamic Securities Selling and Buying Negotiated Transaction frameworkRinggit up 10% this year

if u think a hugely profitable company like HY deserves current price levels, then most other companies making lesser profits than HY deserves 80% discount from their current price levels.

Possibly one or two more hard correction before finding bottom...RM10 is a possibility...but the rebound will be very strong too... still so many trading days to go before QR4... should see RM17 again in February...could see 19.20 again in March.

This is the most horrifying show for punters and margin players.... although I am positive about HY's FA...I think 10 is a possibility as IBs and other big sharks aren't done selling or buying yet...CA for instance is still only 0.76... still far away from their issue price. Sure it will be pressed down further since it's close to its expiry date.

Probability....thanks for your reassurance again....newbies here sure need some positive input....but many are already burnt...thus best invest within your own financial means

Merlin, what's your price projection of Sumatec's after coming QR? 0.21? U made my saliva drool..

If nobody catches then how to recover to go up? Just straight line down all the way lo...not call falling knife...call fishing line..haha

If u look at today's I3 chart...see the V shape.

Ada bread knife, chopper, penknife, macam macam la..long time no see u Dragon

Remember falling knife is V shaped...we have seen \ now we are seeing /.

One thing for sure...QR4 is going to be very good...stay cool and wait till QR is out....FA has not changed and Probability sifu has been drumming the message into us...thanks to the great sifu...out to reassure all here in this turbulent time.

Guess they are trying to make minimum RM10 profit for next rally...if that's the case, wherever the price rebounds from, it'll be RM10 higher after QR in February.

The counters that are getting hammered down now are the ones who are expected to report good QR in February...Kesm, BAT, HY, Petronm, Vitrox. Stay cool and dun count your paper losses....or lesser paper gains.

If it continues to surge back to previous close or even close, tomorrow will continue with upward momentum..let's see

That's the only way to buy cheap.. create panic...punters who used margin crying now..poor souls

Took the opportunity to load up heavily on CM and CN... thanks HY for giving this chance to make more $$ aside from the already huge profit from Mother share...rebounding strongly now...thanks.....and f**k the writer of the article.....or shall I thank him

Ask them to rectify their mistake..

Those who lost $$ because of the misleading article and write in and complain.

The latest offering CN matures in Sept '18... they could be wrong too cos HRC could cross 24 before that....lol

The latest offering CN matures in Sept '18... they could be wrong too cos HRC could cross 24 before that....lol

Example...In a football match...if u want to know how Man Utd view your team...just need to see the players the manager pick to start...if mostly reserves... that means the manager "sees your team no up"....so IBS don't think highly of HRC...if they think the price won't ever go up above 19.20 (like what u think) and will stay in current levels or lower....just put 18 as exercise enough already ma.

So u concede HRC is going to be higher than 18 at least based on what u said....thank u.... the fact that the latest offering has exercise price of 24 shows IBs have been raising the bar knowing that previous valuations were well undervalued....SO...again it shows that HRC is UNDERVALUED, in the eyes of IBs.

Actually...if want to sailang...hibiscus is a better choice
because their QR is directly related to oil price..high oil price means good profits...Sapura benefits indirectly if O&G companies prosper....so I bought heavily here but sailang in Hibiscs....I also already own stock king HRC.

It's ok la bro...now we have one more friend...不打不相识..good luck.

Those who bought heavily in anticipation of good upcoming QR are super investors.

Coward is a wrong word to use bro....too strong....those who sold were scared....those who bought saw the uptrend coming...smart is the word...those who take profit at below RM1 are stupid..haha

Monday will go up for sure... maybe gap up too...hope no heavy profit taking so that it could pass RM1.00 again.

HY is nearing the end of consolidation...next week could see it edge up above 17.30

When IBs issue CWs...the exercise price tells us what they think of HY's potential indirectly...the underwriters would have done their own valuation of HY before setting the exercise price.

Next week should pass 1.00 if syndicate seriously going to push..

Education....justification...
persuasion...when all else fail...
last step: abandonment...good luck to those who dun have confidence in this stock...please follow the exit sign.

Full flush...good... don't mind cut a tiny fraction of my paper gains to cut loose weak holders...then the ascension will be smooth again

Some of the newbies here are destined to make peanuts...stick to your beliefs...you are right...HY will plunge to RM2 or lower... stay away from this counter! It will be Good riddance.

Those who have no confidence please just sell...one less trader is good for HY.