Wednesday, December 23, 2009

20091223 1828 FCPO EOD Daily Chart Study.

FCPO closed : 2494, changed : -21 points, volume : higher than yesterday.
Bollinger band reading : bearish but possible side way range bound.
MACD Histrogram : getting lower, seller took charge.
Support : 2474, lower Bollinger band level.
Resistant : middle Bollinger band, 2550 level.
Comment :
Despite the bearish chart reading, FCPO could possibly trade side way ranging or even do a upward correction due to the reason today's daily chart candle ended with a doji with the Bollinger band stay nearly unchanged and also closed the day above the 2490 support level.Anticipating a side way range bound downside biased market.
When to buy : buy at support or weakness with quick cut loss and profit target.
When to sell : sell at resistant/strength/break down with larger cut loss and profit target.

20091223 1809 FKLI EOD Daily Chart Study.

FKLI closed : 1263.5, changed : +6 points, volume : 3 weeks high .
Bollinger band reading : neutral, side way ranging market.
MACD Histrogram : improved better, buyer returned to the market.
Support : the lower upward triangle line,lower Bollinger band.
Resistant : the upper downward triangle line. upper Bollinger band.
Comment :
FKLI rebounded upward with ultra high volume transacted recovered back some of the losses from the past 3 days. It seems that market still trading within the triangle tighter range and hopefully that tomorrow we could see some break out action. Oh Santa! Hope that you come tomorrow with a big present to all of us. Ho ho ho !
When to buy : buy at support/weakness/break up with quick cut loss and profit target.
When to sell : sell at resistant/strength/break down with quick cut loss and profit target.

20091223 1456 FKLI Mid Day Hourly Chart Study.

FKLI closed : 1259.5, changed : +2 points, volume : low.
Bollinger band reading : side way range bound.
MACD Histrogram : recovered slightly, neutral reading.
Support : 1257.5, 1251.5 level.
Resistant : upper Bollinger band, 1263 level.
Comment :
Another quite day with continue side way range bound likely.

20091223 1233 FCPO Mid Day Hourly Chart Study.

FCPO closed : 2502, changed : -13 points, volume : low.
Bollinger band reading : bearish.
MACD Histrogram : turning upward slowly, partial short position profit taking.
Support : 2490, 2470 level.
Resistant : 2530, middle Bollinger band level.
Comment :
Low volume FCPO traded marginally lower due to weaker soy oil and Dalian crude palm oil futures price. With the MACD Histrogram forming a rounding up formation may suggest that FCPO to consolidate higher before continue with further downward movement can be seen. Overall a still a berish market with upward correction likely.

20091223 1003 Malaysia Corporate News.

Malaysia Airlines (MAS) is planning to raise RM2.67bn through a rights issue to partly fund the purchase of new planes. The national carrier has proposed a one-for-one rights issue of 1.67bn new units at a price of RM1.60 per share. "Proceeds will be used for the acquisition of wide-body aircraft and working capital," MAS MD and CEO Tengku Datuk Azmil Zahruddin said. Khazanah Nasional and Penerbangan Malaysia will undertake their entire entitlement totalling 69.3% of shares held in MAS. 
  • Both the rights issue and aircraft acquisitions are expected to be completed by the end of Mar 10. The airline's gearing will initially fall to 1.3x after the rights issue and aircraft acquisition in 2010, but peak at 2.1x in 2011 with the delivery of the six A380s. (BT)
The Kerala state government has invoked a one-year ban on palm oil imports, primarily from Malaysia and Indonesia, via Cochin Port to protect coconut farmers' interests in the southern state. Cochin Port Trust chairman N. Ramachandran said the ban had impacted cargo throughput at the state's premier port and port revenue. (Bernama)

The property sector may experience an oversupply next year due to a burst of launches from developers that have been held back since the start of the global economic crisis. Association of Valuers, Property Managers, Estate Agents and Property Consultants in the Private Sector, Malaysia (PEPS) president James Wong said developers would need to come up with "creative ways" to maximise sales.
  • Ho Chin Soon Research director Ho Chin Soon concurred, adding that there would be a pent-up from buyers that had been eager to get into the housing market.
  • Wong said property transactions for 2010 were expected to be better than 2009, adding that the residential sector would see the biggest growth.
  • Wong added that the secondary market for upmarket condominiums would remain soft until the second half of 2010 because of existing oversupply and new launches. "However, the secondary market for landed residential property remains firm," he said.
  • Wong also said the shopping complex and office building sectors would face "some oversupply". (Starbiz)
Gamuda said the government has given it and consortium partner another 11 months to complete building the electrified double-track rail project linking Ipoh and Padang Besar. They have until December 2013 to complete the project, from January 2013 originally. Work progress was behind schedule due to delays in design approval and late handover of land by the authorities. Under the terms of the contract, all land should be handed over to the consortium early this year but to date, only 90% had been handed over. (BT)

Genting Singapore PLC has named Tan Hee Teck, now chief executive officer (CEO) of subsidiary Resorts World at Sentosa (RWS), as president and chief operating officer of the group from January 1 2010. Hee Teck replaces Justin Tan Wah Joo, currently managing director of Genting Singapore, who will retire. Genting Singapore also said its chief financial officer (CFO) Jaclyn Loy Swee Im has resigned to pursue new opportunities. She will be replaced by jLee Shi Ruh, who is currently vice-president (finance) of Genting Malaysia. (BT)

Harrah's Entertainment chairman and CEO Gary Loveman wants to bring the Caesars Palace brand to Macau as the company seeks new markets for growth. Entering the market would require working with an existing operator because the government limits the number of licences to six. (Bloomberg, Financial Daily)

Malaysia Airlines is purchasing up to 25 A330-300 aircraft worth US$5bn in order to serve the growing markets of South Asia, China, North Asia, Australia and Middle East. "The A330 will complement our incoming fleet of six A380 and 35 B737-800," its MD / CEO Tengku Datuk Azmil Zahruddin said. 
  • Under the deal, MAS is to acquire 15 A330-300 aircraft with options for a further 10. The aircraft will be delivered from 2011 to 2016. "The new fleet will create a strong platform for us to profitably grow. The A380 will serve key long haul destinations such as London and Sydney, the A330 for medium haul markets while the B737-800 will be used to strengthen our domestic and regional routes," Azmil said.
  • Azmil said the national carrier expected to gain annual savings of RM300m when the first 15 A330 aircraft are received. "By 2016, all the aircraft we have ordered will be in and we expect to have one of the youngest, most fuel efficient and environmentally friendly fleet in Asia," Azmil said.
  • He said MAS's strategy was to transform from having a 100% leased fleet to owning at least a third of the aircraft in its core fleet.
  • On its prospects next year, Azmil said the national carrier expected a fairly modest growth, adding that it was looking at additional potential routes in India, China and the Middle East. (Bernama)
Mah Sing Group plans to explore other potential investment opportunities in Jiangsu, China. The company had already signed a letter of intent in early Dec to develop a mixed property development project in Wujin district, Changzhou, Jiangsu province. (Bernama)

Naza Group has drafted Kumpulan Jetson as a partner to develop the country's largest exhibition centre on 62.45 acres of prime federal land off Jalan Duta in Kuala Lumpur. Naza, through wholly-owned TTDI KL Metropolis, and Kumpulan Jetson sealed a pact to form a 51:49 joint venture (JV) called TTDI Jetson. Kumpulan Jetson will eventually get a RM628m job to build the proposed Matrade Centre, which will have a 1m sq ft of gross floor area. (BT)

The Naza Talyya Hotel here is aiming for a 20% increase in occupancy rate in the coming new year following its completion of an upgrading exercise. An estimated RM18m has been invested by the Naza Hotels Management group on their rebranding exercise. The Naza Hotel Management, which is part of the Naza Group of companies, is also planning to open a new hotel in Kuala Lumpur and to also co-manage the Crowne Plaza LA Harbor Hotel in California. (Bernama)

Malaysia Pacific Corporation is eyeing more joint-venture projects to fund its RM4bn development project, namely the Asia Pacific Trade & Expo City (APTEC) and LakeHill Resort City. Located within Iskandar Malaysia, the project is due for construction next year, said President and CEO Bill C.P Ch'ng. 
  • APTEC, which MPC will help to manage, will be the sourcing and distribution centre for goods from around the region, particularly from China, India and Asean countries and it is expected to be completed within four years. The township of LakeHill meanwhile is expected to be ready in eight years. (Bernama)
Bumi Armada, Malaysia's largest operator of oilfield vessels, is seeking to borrow as much as US$260m (RM894.4m) from banks including Sumitomo Mitsui Banking Corp to fund a tanker-conversion project. The firm won a contract to develop a floating production, storage and offloading vessel for the Te Giac Trang oilfield in Vietnam last month, CEO Hassan Basma said. Bumi Armada and its partner may spend US$300m (RM1.03bn) on the project that is forecast to generate revenue of about US$700m (RM2.41bn) over seven years, he said. (BT, Bloomberg)

Hing Yiap Knitting Industries is confident that it will be able to maintain profit levels for the current financial year, but much will depend on sales during the Chinese New Year period. Hing Yiap is in the business of wholesaling, retailing and distributing of apparels for brands such as, Bontton, BUM equipment, Antioni, Diesel and Unionbay. The company underwent a revamp of its designs and workflow, and have been on an improvement trail ever since. (BT)

China’s Ouhua Winery Holdings plans to list its wine-making business on the Main Market of Bursa Malaysia, which will make it the fourth Chinese company to be listed on the local bourse. It will offer 131m shares to the public, representing 19.6% of its enlarged issued and paid-up share capital. Ouhua said the listing will help it raise funds to expand its market presence and distribution network, namely its Fazenda Ohua speciality stores. (BT)

Homeritz Corp, a designer and manufacturer of upholstered home furniture, has received the Securities Commission’s nod to list on the Main Market of Bursa Malaysia in the 1Q10. Besides undertaking original design manufacturing and original equipment manufacturing, it has created its own brand of furniture under “Eritz”. The company has customers across some 40 countries including Europe, Australia, New Zealand, the US, South Africa and the Middle East. (BT)

Zecon's wholly-owned subsidiary Zecon Land has entered a share sale agreement with East Coast Development to dispose of a 30% stake in Zecon Demak Jaya for RM32m. The proceeds from the disposal would be used as working capital of Zecon and its group of companies. (Financial Daily)

Abric is selling a 10,092 sq m factory lot in Jalan Tandang, Petaling Jaya, to GD Express Carrier for RM20.8m. The proceeds from the sale will go to pare down its gearing level of 1.45x to 1.14x. (BT)

Hai-O proposed to implement (1) a 1-for-5 bonus issue of up to 16.9m new shares, (2) 1-into-2 share split, and (3) private placement of up to 10% of the enlarged share capital. The proposals are expected to be completed by the 2Q10. (BMSB)