MBSB is expected to see its profit being slashed by more than half this year due to impairments of loans. The total amount to be impaired is some RM1.4bil over two years. It is part of a two-year programme for its asset quality to be on par with commercial banks.
You guys have to differentiate between long term good prospects and short term price movement. Why is it so? Because not everybody utilize their capital in the same way and have the same objective.
Some people will be ok if the QR has impairments that stops the short term bullish momentum that we are having now because long term there is no doubt that this stock is worth alot more than now.
For traders that shift capital fast for mutiple upswings, the end of a short term bullish momentum may mean capital is stuck there for midterm which is against their capital allocation target and hence they will cut lost if stuck at a higher price.
Hence you cannot make blanket statements and logical analysis like CMY buy and EPF buy sure up on monday and tuesday and etc etc. It may not be the case. So be careful with this type of logical deduction because it is flawed.
As you can see there is more impairments to be realized before it is all done and hence what you really want to ask yourself is if the market can absorb the impairments in this coming QR and continue the bullish momentum regardless.
It can go either way and it this point non of us outsiders know more than what we can guesstimate.
Hence to me as a trader, the QR is still a variable that I just be cautious of. But if you are a long term player then you can be less concerned.
Tomorrow fly lor.. where got time hear you guys preaching. If heat you guys preaching.. I won't be able to get low price and will be still scared like bussy cat don't care to buy tomorrow.
stonenut, I made profit 3 rounds already on mbsb but making profit doesnt mean u need to be single minded and being single minded doesnt mean u will make profit either.
Naz being a investor can't be too cautious.. buy sell buy sell we are giving away all the commissions away. Last time i was like you too. Buy sell buy sell... in the end profit little.. but I can't comment much because you have your own mindset. As long you satisfy is consider win but not for me because my tp haven't reach yet. I know how far this mbsb can go.
stonenut, nothing wrong with your way either. I view it as different objective and hence your diff approach. My main approach is to manage risk as a short term trader. Although I am also confident in the long term prospects of this counter, my method is constant deploy of capital on counters that go thru initial upcycles as i see this phase as most rewarding. Hence my priority will always be capital preservation even though it can mean total less profit on a particular stock.
impairment will still hit its QR result badly, but i shall see if if the buy momentum still going up after the release then that might be the time enter this counter again.. long term definitely high potential, so short term lose a little cos of queueing not a problem
Today will be 30% increase.. You guys already open your laptop? ready to grab the first share in the morning? already had your breakfast? More energy standby ur bullets ....
Even aunty uncles can foresee mbsb up... so why make yourself denying the facts? wanna get cheap price? today Q buy sure can get cheap price. Thu Friday wait will see high tp
Realize higher than expected second round of more than 30% profit, allow total portfolio rollover by additional 30% increment in capital (85% of portfolio capital + 120 margin line capital, at cost 76.7sen)
With just trading in MBSB alone, by concentrating almost all capital in first and second round + leverage up further power with all margin line capital, total portfolio capital alrdy roll over with more than 50% increment return in less a week :D)
Post a Comment
People who like this
New Topic
You should check in on some of those fields below.
Title
Category
Comment
Confirmation
Click Confirm to delete this Forum Thread and all the associated comments.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
bracoli
2,579 posts
Posted by bracoli > 2016-08-07 10:36 | Report Abuse
stonenut2 where is ur brader stonenut1?