Magnum nice ... 1.28 close. On 20 May, I posted here that I took a Position Trade by chasing to buy MAGNUM at 1.16. Since I posted, MAGNUM rise and fell below my entry price. It fell as low as 1.10. You are sure to get at 1.11 filled. If you did, then, you will be happy, as MAGNUM closed 1.28. That's nearly +16% gain in less than 2 months. For your reading pleasure.
Why it doesn't resonate is because the win is so small if correct: 1.31 - 1.28 = 3 sen. That is a tiny tiny profit. And if it dips back down to 1.16, the loss = 1.28 - 1.16 = 12 sen. Add commissions and the loss is so much bigger than profits.
This type of trading is a sure recipee for failure and shrinking your account due to high commissions.
In Bursa, buying breakouts like this after today's big move is often too late, except on the mania stages where what goes high keeps rising even higher. But we are not in the mania environment - look around you and most stocks are still "normal" - today's KLCI barely makes a point. Since we are not in a mania environment, odds are high that after breakouts, the next few days move tend to be weaker and consolidating. So, important to read the market environment, the sector, the securities itself if trading short term.
For me, much easier to position trade i.e. give yourself a long time like 1 to 17 months to win. This minimizes commissions and maximizes profits.
Here are my views on my position trade price targets for MAGNUM. And some sharing of thoughts on what should be a good Trading Plan, and how to be a successful trader. My plan is so simple that even a child can execute.
In terms of financials, Vincent Tan shared that U Mobile recorded a higher revenue of RM3.5 billion and a higher net profit of RM102 million, with increased operating cash flows of RM1.2 billion in 2023. He added that U Mobile’s total assets stood at RM6.2 billion, with a total share capital of RM2.6 billion.
Magnum is currently trading at attractive valuations, close to pandemic lows, with a projected 2025 PE of 10x, below the NFO sector’s five-year mean of 12-13x. These valuations, combined with the company’s low beta, defensive business nature, and steady cash flow, make it appealing to risk-averse investors. The company’s earnings resilience and prospective dividend yields of 6.2-8% in 2024-25 further enhance its attractiveness.
A potential monetization of Magnum’s stake in U-Mobile, anticipated as early as 1H25, serves as a key re-rating catalyst
New IPO: A homegrown air fragrance company, Vanzo Holdings Berhad aims to list on the Ace Market!
MQ Trader 165 views | 23 h ago
0:17
New IPO: Winstar Capital Berhad, a specialist in the extrusion of aluminium profiles and fabrication of aluminium ladders aims to list on the ACE Market!
MQ Trader 325 views | 2 d ago
0:17
New IPO: Topvision Eye Specialist Berhad, specializing in medical eye care services aims to list on the ACE Market!
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....
Donator
1,149 posts
Posted by Donator > 2024-07-17 10:00 | Report Abuse
Ya, TP 2.00