Visit Note - Cahaya Mata Sarawak Bhd - 16 Apr 2012

CAHYA MATA SARAWAK BERHAD , A Deeply Undervalued Stock, BUY

Highlights

Company Background Cahya Mata Sarawak Bhd (CMSB) is a construction conglomerate, involves in cement manufacturing, construction materials, construction, road maintenance, property development, trading, financial services and education.

Experienced management team CMSB is run by a group of professionals with years of experiences. Throughout the years, the management team has managed to exit a few non-core businesses and reduce its external indebtedness thus enabling the group to focus on its core businesses. It is extending its reach to new business opportunities arising through SCORE.

Cement and construction materials – the bread and butter CMSB is the sole cement manufacturer in Sarawak with a total production capacity of 1.75m MT. It has imposed a 5% price hike in cement, effective 1 August 2011. It has also invested in bulk terminals in Sibu and Miri, as well as capacity expansion in clinker production to sustain and enhance its profitability in its cement business. In addition, the re-acquisition of CMS Roads and CMS Pavement Tech would help in securing strong recurring income to the group.

Samalaju Industrial Park – the next growth frontier The group is poised to benefit from SCORE developments, particularly in Samalaju heavy industry node. The group has a direct investment in Samalaju Industrial Park – teaming up with OM Holdings Bhd to build and operate a smelting plant with a total production capacity of 600,000MT/annum. In addition, the group is also providing a temporary workers camp at Samalaju before the township is ready to be developed. Indirectly, the group is also benefiting from supplying cement and various construction materials throughout the development process in Samalaju.

Undervalued landbank CMSB owns huge landbank in Sarawak. It owns a few plots of prime lands in Kuching city centre and two core property development projects, namely the Isthmus and Bandar Samariang. The RNAV per share of RM3.51 indicates that the share price of CMSB is undervalued.

Financial highlights For the past 6 years, the group’s revenue grew at a meager CAGR of 5.0%. However, PATMI improved remarkably by CAGR of 77.2%, thanks to its improvements over the years, by fine-tuning its business focuses and continual expansion and improvements in its core businesses. On balance sheet wise, the group managed to pare down its gearing from as high as over 1.0x in FY2005 to the recent 0.15x in FY2011. The group is in net cash position with a net cash per share of RM1.59. Return of equity (ROE) improved over the years, from 0.81% in FY2006 to 8.8% in FY2011.

Undervalued stock With the SCORE development gaining momentum, CMSB is set to be one of the best proxies for SCORE play. Fundamentally, the stock is currently trading below its book value, at a P/BV of 0.5x. At a forward PER of 7.2x, the group is also trading at below its 3-year average PER of 8.5x. We are applying a 30% discount on its SOP of RM6.87, this huge discount reflect a geographical-concentration risk and potential political risk.


Source:Jupiter Securities Research 30 April 2012

Stock Overview - THPLANT - 30 Apr 2012

THPLANT ( 5112 : 2.70 ) : Targeting 2.90/Stop loss 2.62

Description
CPO

Resistance : 2.85-2.90
Support : 2.63

RSI of 34
RSI has rebounded from its oversold level

STOCHASTIC
It is oversold

Comment
It has bottomed at the recent low of 2.63, which is a key support level. A technical rebound to 2.85-2.90 is
likely. A tight stop loss should be placed at 2.62

Trading Strategy
Buy. Stop loss is at 2.62

Source:Jupiter Securities Research 30 April 2012

Stock Overview - WIJAYA - 30 Apr 2012

WIJAYA ( 4022 : 0.68 ) : Targeting 0.80/Stop loss 0.665

Description
Timber

Resistance : 0.80
Support : 0.67

RSI of 43
RSI is stabilising

STOCHASTIC
It is oversold

Comment
While it is hovering at a good support of 0.675, it is not expected to breach the 0.675 support, due to oversold technicals. A rebound is likely to test the 61.8% retracement of 0.80. A tight stop loss should be placed at 0.665

Trading Strategy
Buy. Stop loss is at 0.665

Source:Jupiter Securities Research 30 April 2012

Stock Overview - LEESK - 30 Apr 2012

 LEESK ( 8079 : 0.145 ) : Targeting 0.19/Stop loss 0.13

Description
Furnitures

Resistance : 0.20
Support : 0.11 0.135

RSI of 47
RSI is recovering

STOCHASTIC
It is oversold

Comment
It is on a technical rebound to target the 50% retracement of 0.19, following the trendline breakout yesterday

Trading Strategy
Buy. Stop loss is at 0.13

Source:Jupiter Securities Research 30 April 2012

Stock Overview - AXIATA - 30 Apr 2012

AXIATA ( 6888 : 5.29 ) : Key support 5.15

Description

Resistance : 5.58
Support : 5.15 5.23

RSI of 54
RSI is neutral

STOCHASTIC
It is oversold, indicating a technical rebound

Comment
The current pullback from 5.44 is on a limited downside, with support at 5.23. A technical rebound is likely, with resistance around 5.58. Caution is a downside breach of 5.15, which will be negative

Trading Strategy
Buy. Stop loss is at 5.15


 Source:Jupiter Securities Research 30 April 2012

Daily Summary - 30 Apr 2012

YOUR MORNING COFFEE – Monday 30/4/2012

SUMMARY

Wall St closed 0.2% higher. Markets ignored the lower than expected 1Q’2012 growth of 2.2%, as it focused on the better corporate earnings, led by Amazon. S&P downgraded Spain to BBB+. Spain
recorded an unemployment of 24.4%.
Dow of 13,228 is resuming its upward push to 13,266, then 13,297. Caution is on the key 12,800 support level. RSI of 58, has recovered.
DOLLAR INDEX is lower 78.7. Support is at 78.6.
Crude oil is higher at USD104.9. Upside is at 108.0.
Dollar yen is lower at 80.3 yen. Upside is at 82.6.
Euro/dollar is higher at 1.325. Upside is at 1.346.
Gold is higher at USD1664. Buy. It is about to resume its uptrend.
Shanghai closed lower at 2,396.
Singapore STI closed lower at 2,978.
Ringgit is firmer at 3.045. Downside is at 3.110.
S’pore ringgit is lower at 2.456. Downside is at 2.436.
Malaysian market closed lower at 1567. On the Daily chart, it is in a correction, with the upside capped at 1589. RSI of 36, is weakening. Support is at 1564. Today’s range is between 1564 and 1574.
CPO June futures is lower at RM3505. Support is at 3420.
Trading : WIJAYA ( 4022 : 0.68 ) : Targeting 0.80/Stop loss 0.67, THPLANT ( 5112 : 2.70 ) : Targeting 2.90/Stop loss 2.62 , LEESK ( 8079 : 0.145 ) : Targeting 0.19/Stop loss 0.135,  AXIATA ( 6888 : 5.29 ) : Key support 5.15

 Source:Jupiter Securities Research 30 April 2012

Morning Coffee 27 April 2012

MO R N I N G C O F F E E - Friday, April 27, 2012


U.S. and European market roundup
U.S. stocks rose for a third day on Thursday after upbeat housing data and stronger-than-expected results from companies, overshadowed some high-profile earnings misses. An index of pending home sales rose to nearly a two-year high in March, sending the Philadelphia Stock Exchange index of housing-related shares up 3%.
Dow Jones industrial average rose 0.87%, Standard & Poor's 500 advanced 0.67% and Nasdaq gained 0.69%. NYMEX-Crude ends up as home sales data fuels optimism. June crude rose 43 cents to settle at $104.55 a barrel.

-Reuters

European stocks were little changed after a rally in automakers helped offset a drop in euro-area confidence
and a report that showed more Americans than forecast filed for jobless benefits last week. France’s CAC 40 Index fell 0.1% while the U.K.’s FTSE 100 and Germany’s DAX both climbed 0.5%.

-Bloomberg

Corporate News Headlines
Sunway says demand for high-end properties has slowed: following the tightening of loan requirements byBank Negara, given its impact on the confidence of property buyers.

MAHB Q1 net profit at RM102.7 million. Earnings per share stood at 9.22 sen versus 8.74 sen previously. Passenger traffic grew 6.5% in the first three months of this year. They budgeted overall passenger traffic growth of 6-7% for this year. MAHB reported a 1.7% decline in cargo volume during the quarter under review. This was in contrast to a positive growth trend in cargo volume at other airports in the region.

TA buys Phuket resort for RM277m: the hotel and business of Movenpick Karon Beach Resort in Phuket,
Thailand for US$90.21 million (RM276.94 million) from Saudi Arabia-based Kingdom Holding Co.

-SunBiz

Sunway REIT issues RM850mil commercial papers: the CPs were accorded a short a short term rating of P1(s) by RAM Rating Services Bhd.

DRB-Hicom holds 98.6% of Proton, trading suspended May 4. DRB-Hicom made a cash offer to acquire Proton shares at RM5.50 per share after it acquired a 42.74% stake in the national car maker from Khazanah Nasional Bhd. The offer will remain open until 5pm on May 9.

Petra Perdana puts up 26.9% stake in Petra Energy up for tender: a restricted tender process for the proposed divestment of its 57.70 million shares.

-StarBiz

Proposed RHBCap-OSK merger may take 6 months: to be finalised once it receives the go-ahead from Bank Negara. Both companies had applied for the central bank's approval for their merger on January 11.

Big spin-offs from Pengerang O&G project: The RM5 billion Pengerang Independent Deepwater Petroleum Terminal (PIDPT) project, which will be completed about four years. t will complement Petronas' RM60,000 billion Refinery and Petrochemicals Integrated Development (Rapid) complex with its crude oil refining capacity, that will be larger than those in Kerteh, Terengannu and Malacca.

-Btimes

MPI posts net loss RM7.43 million in 3Q ended March 31, 2012 due mainly to drop in revenue. MPI revenue for the quarter fell17.63% to RM275.76 million attributing the drop to overall weak demand. Loss per share was 3.83 sen compared to earnings per share of 2.61sen a year earlier. The company declared a second interim dividend of five sen per share tax exempt. Reviewing its performance, MPI said revenue by segments saw the European sector fell the most by 31% followed by Asia, down 13% and the US by 9%.

-Financial Daily

Source Jupiter Securities Research 27 April 2012

Stock Overview - UNISEM - 27 Apr 2012

UNISEM ( 5005 : 1.44 ) : Accumulate/Stop loss 1.30

Description

Resistance : 1.53 1.84
Support : 1.30 1.38

RSI of 51
RSI is on the rise

STOCHASTIC
It is on base forming

TREND INDICATOR

Comment
Currently, it is capped at 1.53, indicating further consolidation. However, the downside is limited due to oversold technicals, pointing to an eventual upside breakout to test the 50% retracement of 1.84

Trading Strategy
Accumulate. Stop loss is at 1.30

Source Jupiter Securities Research 27 April 2012

Stock Overview - INGRESS - 27 Apr 2012

INGRESS ( 7112 : 1.03 ) : Targeting 1.20/Stop loss 0.98

Description

Resistance : 1.20
Support : 1.00

RSI of 53
RSI is neutral

STOCHASTIC
It is recovering

TREND INDICATOR

Comment
It is on a good support of 1.00

Trading Strategy
Buy. Stop loss is at 0.98

Source:Jupiter Securities Research 27 April 2012

Stock Overview - GOCEAN - 27 Apr 2012

GOCEAN ( 0074 : 0.235 ) : Targeting 0.30/Stop loss 0.22

Description

Resistance : 0.30
Support : 0.22

RSI of 52
RSI is on the rise

STOCHASTIC
It is recovering

TREND INDICATOR

Comment
Following the breakout yesterday, it is heading for the 61.8% retracement of 0.30

Trading Strategy
Buy. Stop loss is at 0.22

Source:Jupiter Securities Research 27 April 2012

Stock Overview - CYBERT - 27 Apr 2012

CYBERT ( 0022 : 0.94 ) : Sell 0.98/Revised stop loss to 0.89

Description

Resistance : 0.94 0.98
Support : 0.89

RSI of 74
RSI is overbought

STOCHASTIC
It is overbought

TREND INDICATOR

Comment
On our buy recommendation of 24/4/2012, we have revised the target to 0.98 from 0.94. Stop loss is raised to 0.89

Trading Strategy
Take profit around 0.98. Stop loss is at 0.89

Source:Jupiter Securities Research 27 April 2012

Daily Summary - 27 Apr 2012

YOUR MORNING COFFEE – Friday 27/4/2012

SUMMARY

• Wall St closed 0.8% higher, boosted by prospects of further stimulus from US Fed, and a bottoming housing market. Pending home sales rose 4.1% in March, beating expectation of 0.5%. Weekly initial
• jobless claims of 388,000 were higher than the 365,000 estimate.
• Dow of 13,204 is resuming its upward push to 13,266, then 13,297.
• RSI of 57, has recovered.
• DOLLAR INDEX is higher 79.1. Support is at 78.6.
• Crude oil is higher at USD104.5. Upside is at 108.0.
• Dollar yen is higher at 81.0 yen. Upside is at 82.6.
• Euro/dollar is lower at 1.319. Upside is at 1.346.
• Gold is higher at USD1660. Buy. It is about to resume its uptrend.
• Shanghai closed lower at 2,404.
• Singapore STI closed higher at 2,985.
• Ringgit is firmer at 3.050. Downside is at 3.110.
• S’pore ringgit is lower at 2.456. Downside is at 2.436.
• Malaysian market closed unchanged at 1579. On the Daily chart, it is in a correction, with the upside capped at 1589. RSI of 42, is weakening. Support is at 1564. Today’s range is between 1577 and 1584.
• CPO June futures is higher at RM3518. Support is at 3420.
• Trading : CYBERT (0022 : 0.94) :Sell 0.98/Revised stop loss to 0.89, UNISEM ( 5005 : 1.42 ) : Accumulate/Stop loss 1.30, GOCEAN ( 0074 : 0.235 ) : Targeting 0.30/Stop loss 0.22, INGRESS ( 7112 : 1.03 ) : Targeting 1.20/Stop loss 0.98

Source:Jupiter Securities Research 27 April 2012

Morning Coffee 26 April 2012

MO R N I N G C O F F E E  - Thursday, April 26, 2012

U.S. and European market roundup
U.S. stocks rose on Wednesday and the Nasdaq was on track for its best percentage gain for 2012 a day after Apple's blowout results further lifted optimism about the strength of earnings. Pushing the S&P 500 to its session high in afternoon trade, Federal Reserve Chairman Ben Bernanke said the Fed stands ready to act if further economic help is needed. Earlier, the Fed repeated its promise to leave interest rates on hold until at least late 2014.

In a troubling sign, March durable goods orders fell 4.2% in the biggest drop in three years. The report was the latest to show softness in U.S. economic data. New York Mercantile Exchange, June crude rose 57 cents, to settle at $104.12 a barrel, after receiving a late lift from Wall Street's rally. DJIA was up 0.66%, S&P 500 up 1.34% and Nasdaq was up 2.23%.

 -Reuters

from Apple Inc. to Swedbank AB and Electrolux AB reported earnings that beat estimates. A gauge of European bank shares climbed, with Swedbank AB jumping to its highest price in almost a month. Electrolux AB, the world’s secondbiggest appliance maker, rallied 6.5 %. The U.K. economy unexpectedly shrank in the first quarter as construction output slumped, pushing Britain into its first double-dip recession since the 1970s.

Gross domestic product contracted 0.2 percent from the fourth quarter of 2011, when it shrank 0.3 percent, the Office for National Statistics. France’s CAC 40 rallied 2%, Germany’s DAX advanced 1.7% and U.K.’s FTSE 100 rose 0.2%.

-Bloomberg

Corporate News Headlines
Mudajaya says coal supply for India plant adequate. There is sufficient coal supply for its coal-fired plant in Chhattisgarh, India and is confident it can begin selling power by the first quarter of 2013.When fully operational, the power plant will consume about six million tonnes of coal per year and its 99.6 million tonnes coal block would sustain it for 15 years.

FGVH sticks to June listing deadline. The IPO in its current form means Koperasi Permodalan Felda (KPF), which owns 49% of Felda Holdings Bhd, will be excluded from the exercise. Originally, it was planned that KPF will get a 37% stake in FGVH in exchange for injecting its interest in Felda Holdings into FGVH. The plan, however, was thwarted by a court order obtained by a group of settlers who opposed the listing of FGVH.

Clement Hii, Navis make joint takeover offer for SEGi. The two parties collectively control 57.62% of SEGi. They are offering to buy the rest of the company for RM1.714 a share and RM1.214 per warrant and delist the company

-SunBiz

DiGi Q1 net profit down 3.2% to RM320.6m. Their earnings slipped 3.2% to RM320.63mil in the first quarter ended March 31, 2012 from RM331.39mil a year ago. DiGi will pay a first interim tax-exempt dividend of 5.9 sen per ordinary share for the financial year ended Dec 31, 2012 on June 8, 2012. The growth was mainly driven by data revenue that accounted for close to 31% of total revenue.

Ramunia turning around? speculation that the company is poised for a turnaround soon. Sources close to the company said Ramunia was near to clinching a contract from Shell Sarawak worth more than RM100mil. The company it is seeking the approval of its shareholders for the company's name to be changed to TH Heavy Engineering Bhd at its forthcoming EGM.

TH Plantations to complete land deal in Q3, acquisition of a total of 19,000ha in Sarawak and East Kalimantan for RM93mil. The group's total land bank would be more than 59,000ha after the acquisition and would transform the company into a mid-size plantation company.

-StarBiz

Nestle nets RM158m in first quarter. Nestle registered a 7.4% rise in its net profit to RM158.1 million for the first quarter ended March 31 2012 compared with RM147.15 million in the previous corresponding period. Turnover during the quarter grew 8.5%to RM1.16 billion from RM1.07 billion a year ago, driven by strong performance in both local and export sale.

SP Setia plans to invest up to RM30 million to set up an integrated rail transport hub at KL Eco City mixed development in Kuala Lumpur.The company is building a KTM commuter station, which will be integrated with the existing Abdullah Hukum light rail transit (LRT) station at the project location by 2013.

Ingress bags Honda parts supply deal. PT Ingress Malindo Ventures, has been awarded a RM26.6 million contract to supply door sash parts for a new Honda model by PT Honda Prospect Motor. The five-year project to supply the parts would start within the first quarter of financial year ending January 31 2014.

-Btimes

Source:Jupiter Securities Research 26 April 2012 

Stock Overview - 3A - 26 Apr 2012

3A ( 0012 : 1.27 ) : Take profit

Description

Resistance : 1.33
Support : 1.20 1.24

RSI of 59
RSI is overbought

STOCHASTIC
It is overbought

TREND INDICATOR

Comment
On our buy recommendation of 23/4/2012, it has hit the target of 1.32. As the upside is capped at 1.35 yesterday due to profit taking, it is likely to stage a pullback

Trading Strategy
Take profit

Source:Jupiter Securities Research 26 April 2012 

Stock Overview - PERDANA - 26 Apr 2012

PERDANA ( 7108 : 0.60 ) : Targeting 0.72/Stop loss 0.58

Description
Oil and Gas

Resistance : 0.72
Support : 0.58

RSI of 40
RSI is in a buy divergence

STOCHASTIC
It has started to recover

TREND INDICATOR

Comment
A technical rebound is due, targeting 0.72

Trading Strategy
Buy. Stop loss is at 0.58

Source:Jupiter Securities Research 26 April 2012 

Stock Overview - MPI - 26 Apr 2012

MPI ( 3867 : 2.93 ) : Accumulate/Stop loss 2.75

Description

Resistance : 3.25
Support : 2.83

RSI of 43
RSI is neutral

STOCHASTIC
It is oversold

TREND INDICATOR

Comment
The recent correction from the 3.78 high has approached oversold level, indicating a limited downside

Trading Strategy
Accumulate. Stop loss is at 2.75

Source:Jupiter Securities Research 26 April 2012 

Stock Overview - HWGB - 26 Apr 2012

HWGB ( 9601 : 0.41 ) : Targeting 0.46/Stop loss 0.38

Description

Resistance : 0.46
Support : 0.39

RSI of 55
RSI has recovered

STOCHASTIC
It has started to recover

TREND INDICATOR

Comment
Currently it is recovering from the Double Bottom of 0.385. Upside is at 0.46

Trading Strategy
Buy. Stop loss is at 0.38

Source:Jupiter Securities Research 26 April 2012 

Daily Summary - 26 Apr 2012

YOUR MORNING COFFEE – Thursday 26/4/2012

SUMMARY

• Wall St closed 0.7% higher, boosted by US Fed’s positive outlook on growth and employment. And Fed is ready to step in to support the economy. Good corporate earnings reports continued. The US FOMC
• left rates unchanged. Durable goods orders dipped 4.2%, worse than the expected 1.7% drop.
• Dow of 13,090 is resuming its upward push to 13,160, 13,266. RSI of 53, has recovered.
• DOLLAR INDEX is lower 79.0. Support is at 78.6.
• Crude oil is higher at USD103.7. Upside is at 108.0.
• Dollar yen is higher at 81.3 yen. Upside is at 82.6.
• Euro/dollar is higher at 1.322. Upside is at 1.346.
• Gold is higher at USD1643. Buy. It is about to resume its uptrend.
• Shanghai closed higher at 2,406.
• Singapore STI closed higher at 2,976.
• Ringgit is firmer at 3.054. Downside is at 3.110.
• S’pore ringgit is higher at 2.460. Resistance is at 2.480.
• Malaysian market closed lower at 1579. On the Daily chart, it is in a correction, with the upside capped at 1589. RSI of 43, is weakening. Support is at 1564. Today’s range is between 1579 and 1589.
• CPO June futures is lower at RM3473. Support is at 3420.
• Trading : 3A ( 0012 : 1.27 ) : Take profit MPI ( 3867 : 2.93 ) : Accumulate/Stop loss 2.75, HWGB ( 9601 : 0.41 ) : Targeting 0.46/Stop loss 0.38 PERDANA ( 7108 : 0.60 ) : Targeting 0.72/Stop loss 0.58

Source:Jupiter Securities Research 26 April 2012 

Morning Coffee 25 April 2012

MO R N I N G C O F F E E - Wednesday, April 25, 2012

U.S. and European market roundup

The Dow and the S&P 500 rose on Tuesday after strong earnings and upbeat outlooks from big manufacturers like 3M Co (MMM), but Apple's slide ahead of its results drove the Nasdaq down. Dow gained 0.58%, S&P500 rose 0.37% but Nasdaq slipped 0.30%. Many analysts have cautioned that a correction is near, given the stock market's sharp rally since October. The S&P 500 is up 9.1% so far for the year.

The earnings season so far has been stronger than analysts expected. With results in from 153 S&P 500
companies, more than three-fourths have topped analysts' estimates, according to Thomson Reuters Proprietary Research. Economic data took a backseat to earnings news. U.S. single-family home prices rose for the first time in 10 months in an encouraging sign the battered sector was starting to stabilize, according to the latest S&P/Case- Shiller report.

Crude up a third day, extends gains after APIs data showed that domestic crude stocks fell last week. NYMEX crude oil for June delivery settled at $103.55/brl, gaining 44 cents. -Reuter

European stocks rebounded from a three-month low as earnings from Nordea Bank AB to Kone Oyj topped analyst estimates and sales of new homes in the U.S. exceeded forecasts. Sales of new U.S. homes were stronger than projected in March, indicating cheaper borrowing costs are helping stabilize the real estate market. France’s CAC40 rose 2.3%, U.K.’s FTSE100 increased 0.8% and Germany’s DAX added 1%. -Bloomberg

Corporate News

HELP to grow revenue from non-degree courses. HELP University expects its non-degree segment to contribute 30% to revenue in five years and student base is expected to grow to 20,000 in 2018 from the 11,000 (both locally and overseas) at present. General insurers record RM14b gross premium in 2011, up 7.85% from the previous year. General Insurance Association of Malaysia's (PIAM) said there is room for growth in the industry as Malaysians are still under-insured when compared to the people of other Asian economies. -SunBiz

Metronic sells more Ariantec shares. Proceeds from the share disposal would be utilised to pay creditors as well as administration and operating expenses. Metronic, a provider of intelligent building management systems, told Bursa Malaysia that the share disposal had reduced its stake in Ariantec, an information technology company by 2.2% to 10.9%

Developers eyeing former Unilever plant site in Bangsar. Among the interested bidders are Mah Sing Group Bhd and UEM Land Holdings Bhd. Located at the intersection of Jalan Bangsar and Jalan Maarof in Kuala Lumpur, the land initially belonged to Perbadanan Aset Keretapi but has since changed hands to new owner Pelaburan Hartanah Bhd (PHB). -StarBiz

Scomi Group sells registered shares. Scomi has disposed 498 registered shares representing 99.6% of the issued and paid up share capital of its indirect subsidiary, Scomi Oiltools Kish Limited to Behnam Mousavi Moustafa, for a total cash consideration of US$17mil or RM52.1mil.


Sharp increase in Ramunia draws interest. In May 2011, Ramunia told Bursa Malaysia that its regularisation plan would comprise of capital reconstruction where it would cancel 25 sen from the par value of the existing ordinary share of 50 sen each, of which the credit would be used to offset its accumulated losses. -StarBiz

TH Plantation 1Q net profit down 40% on lower CPO prices. Its palm kernel average selling prices fell 36.5% to RM1,935 per tonne from RM3,046 per tonne while fresh fruit bunch prices slipped 18.3% to RM579 per tonne from RM709 per tonne during the same quarter last year. -Financialy Daily

 Source:Jupiter Securities Research 25 April 2012

Stock Overview - DAYANG - 25 Apr 2012

DAYANG ( 5141 : 2.10 ) : Targeting 2.36/Stop loss 1.96

Description

Resistance : 2.36 2.46
Support : 1.96

RSI of 56
RSI is on the rise

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The current recovery is pushing for 2.36, as technicals have just started to recover from oversold levels

Trading Strategy
Buy. Stop loss is at 1.96

 Source:Jupiter Securities Research 25 April 2012

Stock Overview - WATTA - 25 Apr 2012

WATTA ( 7226 : 0.35 ) : Targeting 0.44/Stop loss 0.33

Description
Automotive batteries

Resistance : 0.41 0.44
Support : 0.33

RSI of 59
RSI is on the rise

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The current rebound is targeting 0.44

Trading Strategy
Buy. Stop loss is at 0.33

 Source:Jupiter Securities Research 25 April 2012

Stock Overview - MRCB - 25 Apr 2012

MRCB ( 1651 : 1.70 ) : Accumulate/Stop loss 1.56

Description

Resistance : 2.03
Support : 1.62

RSI of 28
RSI is oversold

STOCHASTIC
It is oversold

TREND INDICATOR

Comment
It is attractive as it has corrected 75%, from the recent high of 2.27. And the oversold technicals indicate a
limited downside. At the current level, it is worth to accumulate

Trading Strategy
Buy. Stop loss is at 1.56

 Source:Jupiter Securities Research 25 April 2012

Stock Overview - BSTEAD - 25 Apr 2012

BSTEAD ( 2771 : 5.31 ) : Accumulate/Stop loss 5.10

Description

Resistance : 5.60
Support : 5.20

RSI of 39
RSI is oversold

STOCHASTIC
It is oversold

TREND INDICATOR

Comment
With oversold technicals, it is on a limited downside. It is worth accumulating for an upside of 5.60

Trading Strategy
Buy. Stop loss is at 5.10

 Source:Jupiter Securities Research 25 April 2012

Daily Summary - 25 Apr 2012

YOUR MORNING COFFEE – Wednesday 25/4/2012

SUMMARY

• Wall St closed 0.6% higher, due to good earnings reports. New home sales dipped 7.1% in March. S&P/Case-Shiller home prices index dropped 3.5% again in February. While Europe continues to be plagued by uncertainties, the latest bond auctions in Holland and Spain were well received, sending yields slightly lower. The US FOMC tonight is expected to leave rates unchanged.
• Dow of 13,001 is on a correction, with the upside likely to be capped at 13,000. Support is at 12,710, then 12512. RSI of 49, has gone neutral.
• DOLLAR INDEX is lower 79.2. Support is at 78.8.
• Crude oil is higher at USD103.1. Upside is at 108.0.
• Dollar yen is higher at 81.4 yen. Upside is at 82.6.
• Euro/dollar is higher at 1.319. Upside is at 1.346.
• Gold is higher at USD1643. Buy. It is about to resume its uptrend.
• Shanghai closed higher at 2,388.
• Singapore STI closed higher at 2,974.
• Ringgit is weaker at 3.067. Downside is at 3.110.
• S’pore ringgit is higher at 2.458. Resistance is at 2.480.
• Malaysian market closed lower at 1582. On the Daily chart, it is in a correction, with the upside capped at 1589. RSI of 43, is weakening. Support is at 1564. Today’s range is between 1579 and 1589.
• CPO June futures is lower at RM3480. Support is at 3420.
• Trading : WATTA ( 7226 : 0.35 ) : Targeting 0.44/Stop loss 0.33, MRCB ( 1651 : 1.70 ) : Accumulate/Stop loss 1.56, BSTEAD ( 2771 : 5.31 ) : Accumulate/Stop loss 5.10, DAYANG ( 5141 : 2.10 ) : Targeting 2.36/Stop loss 1.96

 Source:Jupiter Securities Research 25 April 2012

Morning Coffee 24 April 2012

MO R N I N G C O F F E E - Tuesday, April 24, 2012

U.S. and European market roundup Stocks fell on Monday as political turmoil in Europe cast doubts on the euro zone's ability to push through measures to end its debt crisis and as Wal-Mart sank following a report it stymied a bribery probe. DJIA was  down 0.78% and S&P500 was down 0.84%. The S&P 500 is still up 8.7% for the year, some way off its year-to-date gain of 12.8% reached earlier this month. The majority of S&P 500 results for the first quarter have been positive so far, however, with 79 percent of companies beating Wall Street's earnings expectations. –Reuters

Oil price on NYMEX slid $0.77 to $103.11. Oil slipped yesterday after surveys of purchasing managers showed factory activity contracting in China, the world’s second biggest crude consumer, and manufacturing and services shrinking in the euro area. -Bloomberg

European stock markets tumbled to a three-month low on Monday.French stocks wiped out yearly gains as the CAC 40 dropped 2.8% to 3,098.37 following Sunday’s first-round presidential election. Socialist candidate François Hollande topped President Nicolas Sarkozy in the first-round contest.Germany’s DAX30 tumbled 3.4%. A preliminary reading of the country’s manufacturing PMI showed business activity contracted at the fastest level since 2009, according to Markit.FTSE100 closed 1.9% lower a. -MarketWatch

Corporate News
Maybank's big plans in Thailand. (Maybank). The fourth-largest bank in Southeast Asia by asset, is aiming to grow its presence in Thailand into a full-fledged financial and banking business in three years. – Sunbiz

AEON Credit mulling bonus issue (AEON). Bonus issue is to improve the stock's liquidity, said sources. AEON, which saw its revenue and net profit grow by 27.7% and 50.7% year-on-year, respectively, in the financial year ended Feb 20, 2012 (FY12). – Sunbiz

Kencana, SapuraCrest to be suspended on May 2. The suspension is to facilitate the capital repayment exercises. The capital repayment follows the merger of the two companies into SapuraKencana Petroleum Bhd, the largest oil and gas service provider by asset in the country. – Sunbiz

E&O plans to buy London property for RM100.9m. E&O is acquiring an office cum retail building known as "Princes House" in London from Strathclyde Pension Fund for £20.3 million (RM100.9 million) cash.The proposed acquisition is currently at a preliminary stage and the deal is expected to be completed by June 2012. – Sunbiz

Tanjung offers to sell marine op to Ekuinas. They proposed to sell its marine business to major shareholder E-Cap (Internal) One Sdn Bhd for RM220mil under a demerger exercise. The disposal by Tanjung of 10 million ordinary shares of RM1 each in Tanjung Kapal Services Sdn Bhd (TKS), representing the entire equity interest in TKS, to KBE for a cash consideration of RM220mil. – StraBiz

Berjaya Land Bhd (BLand) aims to have a bigger presence in China's property market after its maiden commercial development, the Great Mall of China (GMOC) in Yanjiau city, Hebei province, started construction recently. GMOC, billed as the world's largest integrated entertainment and commercial mall development with gross floor area (GFA) of 18.5 million sq ft, is scheduled for completion in 2017. –StraBiz

Fajarbaru Builder Group Bhd is expected to bag a RM299mil job for the construction of Sungai Baru light rail transit station (LRT) under the LRT extension project by Syarikat Prasarana Negara Bhd, The Sungai Baru station will be next to the Putra Heights station and will be located along the Ampang line extension programme. –StraBiz

KFCH, QSR to ink share sale deals with MESB. The date of execution would be no later than May 21 or another mutually agreeable date. On Dec 14, 2011 KFCH announced that special purpose vehicle MESB had made a conditional offer to acquire the entire business and undertaking including all of the assets and liabilities of KFCH at RM4 per share and RM1 per warrant. –StraBiz

Source:Jupiter Securities Research 24 April 2012

Stock Overview - BJCORP - 24 Apr 2012

BJCORP ( 3395 : 0.885 ) : Avoid – Support 0.81

Description

Resistance : 0.92
Support : 0.81 0.85

RSI of 30
RSI is weak

STOCHASTIC
It is weak

TREND INDICATOR

Comment
Following the recent breach of the consolidation on the downside, it is expected to dip lower to 0.85, 0.81

Trading Strategy
Avoid. Downside of 0.81

Source:Jupiter Securities Research 24 April 2012

Stock Overview - PCHEM - 24 Apr 2012

PCHEM ( 5183 : 6.60 ) : Double bottom

Description

Resistance : 6.90
Support : 6.34 6.54

RSI of 38
RSI is stabilising

STOCHASTIC
It is oversold

TREND INDICATOR

Comment
It appears to have found support at the Double bottom of 6.56

Trading Strategy
Buy. Stop loss 6.54

Source:Jupiter Securities Research 24 April 2012

Stock Overview - MUDAJYA - 24 Apr 2012

MUDAJYA ( 5085 : 2.62 ) : Accumulate below 2.54

Description

Resistance : 2.67 2.90
Support : 2.44 2.54

RSI of 28
RSI is oversold

STOCHASTIC
It is oversold

TREND INDICATOR

Comment
While the current correction from 3.28 is not over yet, the downside is limited to 2.44-2.54. It is recommended to accumulate at below 2.54

Trading Strategy
Buy below 2.54. Stop loss is at 2.32

Source:Jupiter Securities Research 24 April 2012

Stock Overview - CYBERT - 24 Apr 2012

CYBERT ( 0022 : 0.835 ) : Targeting 0.94/Stop loss 0.78

Description
Telecom carriers

Resistance : 0.94
Support : 0.78

RSI of 69
RSI is rising

STOCHASTIC
It is on an upswing

TREND INDICATOR
Comment
The current upward push is heading for 0.94

Trading Strategy
Buy. Stop loss 0.78

Source:Jupiter Securities Research 24 April 2012

Daily Summary - 24 Apr 2012

YOUR MORNING COFFEE – Tuesday 24/4/2012

SUMMARY 

• Wall St closed 0.8% lower, due to a change in European political landscape and a slowdown in the Chinese economy. French President Sarkozy has lost the first round of elections. Dutch PM resigned,
• jeopardizing its AAA rating; a coalition party withdrew due to disagreements over the 2013 budgets.
• Dow of 12,927 is on a correction, with the upside likely to be capped at 13,000. Support is at 12,710, then 12512. RSI of 46, is weakening.
• DOLLAR INDEX is higher 79.3. Support is at 78.8.
• Crude oil is lower at USD102.6. Upside is at 108.0.
• Dollar yen is lower at 81.1 yen. Upside is at 82.6.
• Euro/dollar is lower at 1.315. Upside is at 1.346.
• Gold is lower at USD1636. Buy. It is about to resume its uptrend.
• Shanghai closed lower at 2,388.
• Singapore STI closed lower at 2,960.
• Ringgit is weaker at 3.067. Downside is at 3.110.
• S’pore ringgit is higher at 2.458. Resistance is at 2.480.
• Malaysian market closed lower at 1583. On the Daily chart, it is in a correction, with the upside capped at 1589. RSI of 45, is weakening.
• Support is at 1564. Today’s range is between 1579 and 1589.
• CPO June futures is lower at RM3493. Support is at 3420.
• Trading : MUDAJYA ( 5085 : 2.62 ) : Accumulate below 2.54, BJCORP ( 3395 : 0.885 ) : Avoid – Support 0.81, PCHEM ( 5183 : 6.60 ) : Double bottom, CYBERT ( 0022 : 0.835 ) : Targeting 0.94/Stop loss 0.78

Source:Jupiter Securities Research 24 April 2012

Morning Coffee 23 April 2012

MO R N I N G C O F F E E Monday, April 23, 2012


U.S. and European market roundup
Stocks mostly rose on Friday, led by solid earnings from McDonald's, General Electric and Microsoft, but declines in banks and technology shares pulled indexes from their day's highs. The Nasdaq Composite fell as SanDisk Corp led a drop in semiconductor shares with an 11.3% slide after its second revenue warning in as many quarters. DJIA rose 0.50%, S&P500 gained 0.12% and Nasdaq dropped 0.24%.

U.S. crude futures rose for the first time in three days on Friday, lifted by better-than-expected data on German business sentiment. NYMEX, crude for May delivery expired and settled at $103.05/brl. NYMEX June crude closed at $103.88, up $1.16. - Reuters

European stocks finished higher on Friday, with banks gaining ground after a surprise rise in a German business climate index. German DAX30 rose 1.2%. France CAC40 added 0.5%, buoyed by solid gains for banks. Société Générale SA rose 3.5%. French politics will also be on investors’ mind over the weekend as the country heads into its first rounds of presidential elections. FTSE100 added 0.5%. – MarketWatch

Macro News
CPI up moderately on food and non-food items – within expectations. The CPI for the period January to
March this year increased by 2.3% to 104.5 compared with that of 102.2 in the same period last year. -StarBiz

Dry Shipping Recovers. Baltic Dry Index (BDI) strengthens as demad pick up. BDI stood at 1,028 points on April 19 after it passed 1,000 points on April 18. This was the first time the BDI passed 1,000 points since Jannuary 16. BDI has increased 28% from its lowest level point in six months at 648 points. -StarBiz

Corporate News

Naim-KPJ JV Company to invest RM70mil in private hospital in Miri. The project will be undertaken by a 30:70 JV company between Naim’s wholly-owned subisidary, Naim Land Sdn Bhd (NLSB), and KPJ’s wholly-owned unit, Kumpulan Perubatan (Johor) Sdn Bhd (KPJSB).-StarBiz
PPA extension offers soon? The first generation independent power producers (IPPs) will be receiving
formal documents for the extension of their power purchase agreements (PPAs). The IPPs under the firstgeneration PPAs are YTL Power International Bhd; Segari Energy Ventures Sdn Bhd (a subsidiary of Malakoff); Port Dickson Power of the Sime Darby group; Powertek Bhd and Genting Sanyen Power Sdn Bhd. -StarBiz

DRB-Hicom not disposing of Lotus group. Statement released on Saturday, it said it had not reached
a decision to sell Lotus, and did not know the source of speculation about selling it to China-based automobile group Youngman. -StarBiz

Tambun Indah in RM50mil school Project. The firm is developing Straits International School Seberang Prai Campus in Pearl City, Penang. The Campus is due to be completed in 2014. -Sunbiz

Cycle & Carriage profit up on Lowe Motors’ acquisition. Mercedes-Benz distributor Cycle & Carriage Bintang Bhd has upped its net profit by 6.76% for the first quarter ended March 31 to RM8.37mil from RM7.84mil in the same period last year, boosted partly by its acquisition of Lowe Motors Sdn Bhd in May 2011. -StarBiz

EPF working on the master plan for 926ha RRI land. The 1,215ha Rubber Research Institute (RRI) Malaysia land in Sungai Buloh, is now controlled by Kwasa Land Sdn Bhd. Besides the development led by Kwasa, the original owner of the land, RRI, would remain at the same location.-StarBiz

Terengganu drops Petronas suit, over it unpaid royalty payments amounting to several billion ringgit. The out-ofcourt settlement will end more than 11-years of legal wrangling. -FinancialDaily

Source:Jupiter Securities Research 23 April 2012

Stock Overview - FAVCO - 23 Apr 2012

FAVCO ( 7229 : 1.53 ) : Target 1.80/Stop loss 1.44

Description
Cranes

Resistance : 1.80
Support : 1.44

RSI of 72
RSI is overbought

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The current upmove is heading for a retest of 1.80

Trading Strategy
Buy. Stop loss is at 1.44

Source:Jupiter Securities Research 23 April 2012

Stock Overview - ULICORP - 23 Apr 2012

ULICORP ( 7133 : 0.74 ) : Breakout target 0.83

Description

Resistance : 0.83
Support : 0.71

RSI of 59
RSI is on the rise

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The breakout last Friday, is targeting 0.83

Trading Strategy
Buy. Stop loss is at 0.71

Source:Jupiter Securities Research 23 April 2012

Stock Overview - FOCUS - 23 Apr 2012

FOCUS ( 0116 : 0.18 ) : Target 0.22/Stop loss 0.17

Description
Engineering services

Resistance : 0.22 0.25
Support : 0.17

RSI of 56
RSI is on the rise

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The rebound is targeting 0.22, and possibly 0.25

Trading Strategy
Buy. Stop loss is at 0.17

Source:Jupiter Securities Research 23 April 2012

Stock Overview - 3A - 23 Apr 2012

3A ( 0012 : 1.15 ) : Target 1.32/Stop loss 1.10

Description
Food manufacturing

Resistance : 1.32
Support : 1.10

RSI of 47
RSI is neutral

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The technical rebound last Friday is targeting 1.32

Trading Strategy
Buy. Stop loss is at 1.10

Source:Jupiter Securities Research 23 April 2012

Daily Summary - 23 Apr 2012

YOUR MORNING COFFEE – Monday 23/4/2012

SUMMARY

• Wall St closed 0.5% higher, due to another round of strong corporate earnings. Microsoft, McDonalds, GE etc, led the charge. In Europe, Germany got a surprise for the sixth straight month of increase in
• business confidence. Euros and oil prices rose.
• Dow of 13,029 is on a technical rebound. It is testing the previous high of 13,297. RSI of 50, and Stochastic are recovering.
• Dollar index is lower at 79.2. Support is at 78.8.
• Crude oil is higher at USD103.0. Upside is at 108.0.
• Dollar yen is higher at 81.5 yen. Upside is at 82.6.
• Euro/dollar is higher at 1.322. Upside is at 1.346.
• Gold is higher at USD1642. Buy. It is about to resume its uptrend.
• Shanghai closed higher at 2,406.
• Singapore STI closed lower at 2,998.
• Ringgit is firmer at 3.059. Downside is at 3.110.
• S’pore ringgit is higher at 2.453. Resistance is at 2.480.
• Malaysian market closed lower at 1591. On the Daily chart, it is in for a small technical rebound, as the RSI of 51 has gone neutral.
• Upside is at 1615. Today’s range is between 1590 and 1600.
• CPO June futures is lower at RM3464. Support is at 3420.
• Trading : FAVCO ( 7229 : 1.53 ) : Target 1.80/Stop loss 1.44, 3A ( 0012 : 1.15 ) : Target 1.32/Stop loss 1.10, ULICORP ( 7133 : 0.74 ) : Breakout target 0.83, FOCUS ( 0116 : 0.18 ) : Target 0.22/Stop loss 0.17

Source:Jupiter Securities Research 23 April 2012

Morning Coffee 20 April 2012

MO R N I N G C O F F E E Friday, April 20, 2012

U.S. and European market roundup
Stocks fell for a second day on Thursday as labor market data showed more signs of weakness, while a warning from Qualcomm and poor results from Stanley Black & Decker also discouraged investors. Also contributed to the day's losses, as did renewed concerns about Europe's finances. DJIA fell 0.53 %, S&P 500 dropped 0.59%. - Reuters

NYMEX crude for May, which expires at the end of Friday, down 40 cents to $102.72 a barrel. As lingering concerns over a disruption to Iranian oil exports and a weaker dollar offset pressure from extra Saudi supplies and weak U.S. economic data.

European stocks fell for a second day as reports showed that sales of previously owned houses dropped and more Americans than forecast filed claims for unemployment benefits. France’s CAC 40 declined 2.1% and Germany’s DAX declined 0.9% and U.K.’s FTSE 100 lost less than 0.1%. - Bloomberg

Macro News
Asia’s growth picking up. Respondents in a quarterly survey of over 250 economists refrained from slashing growth forecasts for the first time in a year, a sign that the outlook for Asia is certainly upbeat even though it may be too early to celebrate. Asia's largest economy is expected to grow at an annual 8.4% this year and 8.6% in 2013. - StarBiz

MSA: Slower adex growth seen this year. Advertising expenditure (adex) is expected to grow 8% to 10% this year, according to the Media Specialists Association (MSA). Last year, adex rose 12% to RM10.8bil, with newspapers retaining the lion’s share at 40.5%.- StrBiz

Corporate News
Bursa posts flat first-quarter earnings on lower revenue .Net profit for the first quarter ended March 31, 2012 (FY12) was flat at RM40.79mil, compared with RM40.49mil in the previous corresponding period. -StrBiz

Warisan unit eyes 8% share in heavy trucks. Angka- Tan Motor Sdn Bhd (ATMSB), a wholly owned subsidiary of Warisan TC Holdings Bhd, expects to garner about 8% market share of the local heavy-duty trucks segment with the Malaysian launch of the AUMAN Heavy Duty Trucks. – StrBiz

Sabah Development Corridor gets RM107bil. The total cumulative committed investment in the Sabah Development Corridor (SDC) has reached RM107bil as at the end of the first quarter of this year, said Chief Minister Datuk Seri Musa Aman. –StrBiz

Silver lining for steel players. Boston Consultancy Group (BCG) has been appointed as the ministry's consultant to undertake a comprehensive study on the entire local steel sector. The study is scheduled for completion in June. –StrBiz

Hua Yang banks on affordability factor in latest project. The company expected its Taman Pulai Hijauan project to receive good response from the public. Four-bedroom and three-bathroom house within a gated precinct has a built-up area of area of 170.34 sq m (1,834 sq ft) and is priced from RM250,000. -StrBiz

Media Prima seeks M&A opportunities in related sector. Currently, about 95% of Media Prima's revenue is generated from Malaysian operations. It intends to increase overseas contribution via distribution of content. Concurrently, 95% of its revenue is derived from advertisements. -StrBiz

Source:Jupiter Securities Research 20 April 2012

Stock Overview - KEURO - 20 Apr 2012

KEURO ( 3565 : 1.24 ) : Target 1.50/Stop loss 1.20

Description
Infrastructure construction

Resistance : 1.38 1.50
Support : 1.20

RSI of 49
RSI is neutral

STOCHASTIC
It is neutral

TREND INDICATOR

Comment
Currently, it is hovering at the 1.21 support line, indicating an upmove to 1.38, 1.50

Trading Strategy
Buy. Stop loss is at 1.20

Source:Jupiter Securities Research 20 April 2012

Stock Overview - GOLSTA - 20 Apr 2012

GOLSTA ( 7105 : 0.67 ) : Target 0.80/Stop loss 0.62

Description
Industrial machinery

Resistance : 0.80-0.85
Support : 0.62

RSI of 76
RSI to stay overbought for a while

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The current upmove is heading for 0.80-0.85

Trading Strategy
Buy. Stop loss is at 0.62

Source:Jupiter Securities Research 20 April 2012

Stock Overview - CENSOF - 20 Apr 2012

CENSOF ( 5195 : 0.445 ) : Target raised to 0.52

Description
Application softwares

Resistance : 0.52 0.54
Support : 0.425

RSI of 50
RSI is recovering

STOCHASTIC
It has started to swing upwards

TREND INDICATOR

Comment
On the 18/4/2012 buy recommendation, the upside target has been raised to 0.52, from 0.47. Technicals are on an early buy signal, indicating further upward push

Trading Strategy
Buy. Stop loss is at 0.425

Source:Jupiter Securities Research 20 April 2012

Stock Overview - BINTAI - 20 Apr 2012

BINTAI ( 6998 : 0.38 ) : Target 0.50/Stop loss 0.34

Description
Engineering services

Resistance : 0.53
Support : 0.34

RSI of 63
RSI is on the rise

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
The current upmove is heading for 0.50-0.53

Trading Strategy
Buy. Stop loss is at 0.34

Source:Jupiter Securities Research 20 April 2012

Daily Summary - 20 Apr 2012

YOUR MORNING COFFEE – Friday 20/4/2012

SUMMARY

• Wall St closed 0.5% lower, due to poor economic data. Weekly initial jobless claims dipped to 386,000, and is higher than expected. Existing home sales dipped 2.6%, indicating that housing remains
• shaky. US Fed Philadelphia index dipped to 8.5, indicating weak regional manufacturing activity.
• Dow of 12,964 is on a technical rebound. It is testing the previous high of 13,297. RSI of 48, and Stochastic are recovering.
• Dollar index is unchanged at 79.5. Upside is at 80.8.
• Crude oil is lower at USD102.2. Upside is at 108.0.
• Dollar yen is higher at 81.5 yen. Upside is at 82.6.
• Euro/dollar is higher at 1.313. Upside is at 1.346.
• Gold is higher at USD1641. Buy. It is about to resume its uptrend.
• Shanghai closed lower at 2,378.
• Singapore STI closed higher at 3,006.
• Ringgit is weaker at 3.067. Downside is at 3.110.
• S’pore ringgit is higher at 2.453. Resistance is at 2.480.
• Malaysian market closed lower at 1596. On the Daily chart, it is in
• for a small technical rebound, as the RSI of 56 has gone neutral.
• Upside is at 1615. Today’s range is between 1594 and 1604.
• CPO June futures is lower at RM3470. Support is at 3420.
• Trading : CENSOF ( 5195 : 0.445 ) : Target raised to 0.52, KEURO ( 3565 : 1.24 ) : Target 1.50/Stop loss 1.20, GOLSTA ( 7105 : 0.67 ) : Target 0.80/Stop loss 0.62, BINTAI ( 6998 : 0.38 ) : Target 0.50/Stop loss 0.34

Source:Jupiter Securities Research 20 April 2012

Stock Overview - FITTERS - 19 Apr 2012

FITTERS ( 9318 : 0.75 ) : Targeting 0.85/stop loss 0.71

Description
Fire protection system

Resistance : 0.85
Support : 0.71

RSI of 53
RSI is on the rise

STOCHASTIC
It is riding on an upswing

TREND INDICATOR

Comment
The current technical rebound is eyeing 0.85-0.89

Trading Strategy
Buy. Stop loss is at 0.71

Source:Jupiter Securities Research 19 April 2012

Stock Overview - MTRONIC - 19 Apr 2012

MTRONIC ( 0043 : 0.21 ) : Targeting 0.26/stop loss 0.18

Description
IT services

Resistance : 0.26
Support : 0.19

RSI of 63
RSI is on the rise

STOCHASTIC
It is riding on an upswing

TREND INDICATOR

Comment
The current technical rebound is eyeing 0.26

Trading Strategy
Buy. Stop loss is at 0.18

Source:Jupiter Securities Research 19 April 2012

Stock Overview - EAH - 19 Apr 2012

EAH ( 0154 : 0.19 ) : Targeting 0.235/stop loss 0.175

Description
Software solutions, ICT services

Resistance : 0.235
Support : 0.175

RSI of 55
RSI is recovering

STOCHASTIC
It is recovering

TREND INDICATOR

Comment
It is on a technical rebound to target the Double top of 0.235.

Trading Strategy
Buy. Stop loss is at 0.175

Source:Jupiter Securities Research 19 April 2012

Stock Overview - ASUPREM - 19 Apr 2012

ASUPREM ( 7070 : 0.25 ) : Targeting 0.31/stop loss 0.22

Description

Resistance : 0.31 0.37
Support : 0.23

RSI of 77
RSI is likely to stay overbought for a while

STOCHASTIC
It is riding on an upswing

TREND INDICATOR

Comment
Following the consolidation breakout, it is heading for 0.31, and possibly 0.37

Trading Strategy
Buy. Stop loss is at 0.22

Source:Jupiter Securities Research 19 April 2012

Morning Coffee 19 April 2012

MO R N I N G C O F F E E - Thursday, April 19, 2012

U.S. and European market roundup
U.S. stocks slipped on Wednesday, as uninspiring earnings from tech bellwethers IBM and Intel gave investors a reason to take profits. IBM missed its revenue forecast, while investors said Intel's results failed to make
a "bull case" for the stock. The Dow dropped 0.63%, S&P500 shed 0.41% and Nasdaq slipped 0.37%.

U.S. crude futures fell on Wednesday after a government report showed oil inventories rose more than expected last week to post the biggest 4-week increase in over 3-years. NYMEX, May crude fell $1.53, to $102.78 brl. -Reuters

European stocks declined as Bank of England policy maker Adam Posen ended his support for more stimulus, falling house prices signaled slowing growth in China and bad loans surged in Spain. France’s CAC 40 declined 1.6%, UK FTSE100 slid 0.4 % and Germany’s DAX lost 1%. -Bloomberg

Macro News
n.a

Corporate News
LBS Bina Group Bhd is looking to sell two companies involved in golf club operations and property development projects in Zhuhai, China for an estimated HK$1.65bil. On Wednesday they signed a memorandum of understanding (MoU) with Hong Kong Stock Exchange-listed Jiuzhou Development Company Ltd's unit to dispose of up to 100% but not less than 60% equity interest in Dragon Hill Corp Ltd. –StarBiz

MAA to be considering selling fund management business. MAA’s fund management operates in under MAAKL Mutual Bhd and its takaful MAAKL bunisess comes under MAA Takaful. It total funds size currently stands at about RM1.9bil. –StarBiz

Guocoland losses narrows in Q3 to RM2.36mil on an increase in earnings from its hotel division. Revenue was marginally lower due to more property sales in the previous quarter. –StarBiz

Public Bank Bhd records RM941mil net profit in Q1, boosted by 12.8% higher revenue of RM3.4bil. Latest quarterly earnings were measured against a higher restated profit in the same period a year ago, bumped up by RM56mil to RM884mil. -SunBIZ

Eversendai Corporation Bhd's subsidiary has secured a RM134mil sub-contract for the second package of the National Museum of Qatar. Work on this contract is expected to be completed in 2013 and will have a positive impact on the group's financial performance for FY2012 and FY2013. –StarBiz

Three-A Resources’ new plant in china to start producing hydrolysed vegetable protein (HVP) and related product this month. The facility is a 50:50 joint venture with Wilmar International Ltd. –StarBiz

Perodua March sales down 11%. The decline in sales was largely due to the new hire purchase guideline introduced by BNM in January. The new guideline resulted in a much lower loan approval rate, delay in loan approval and approval loan at reduce amounts. -Sun Biz

Source:Jupiter Securities Research 19 April 2012

Daily Summary - 19 Apr 2012

YOUR MORNING COFFEE – Thursday 19/4/2012

SUMMARY

• Wall St closed 0.6% lower, led by IBM, Intel. And European concerns resurfaced following the release of data showing that Spanish banks held more problem loans than expected. Crude oil inventory rose slightly.
• Dow of 13,032 is on a technical rebound. It is testing the previous high of 13,297. RSI of 50, and Stochastic are recovering. Dollar index is unchanged at 79.5. Upside is at 80.8. Crude oil is lower at USD102.6. Upside is at 108.0.
• Dollar yen is higher at 81.2 yen. Upside is at 82.6.
• Euro/dollar is higher at 1.312. Upside is at 1.346.
• Gold is lower at USD1640. Buy. It is about to resume its uptrend.
• Shanghai closed higher at 2,380.
• Singapore STI closed higher at 2,998.
• Ringgit is weaker at 3.066. Downside is at 3.110.
• S’pore ringgit is higher at 2.453. Resistance is at 2.480.
• Malaysian market closed higher at 1598. On the Daily chart, it is in for a small technical rebound, as the RSI of 58 has gone neutral. Upside is at 1615. Today’s range is between 1596 and 1606.
• CPO June futures is lower at RM3498. Support is at 3420.
• Trading : EAH ( 0154 : 0.19 ) : Targeting 0.235/stop loss 0.175, ASUPREM ( 7070 : 0.25 ) : Targeting 0.31/stop loss 0.22, FITTERS ( 9318 : 0.75 ) : Targeting 0.85/stop loss 0.71, MTRONIC ( 0043 : 0.20 ) : Targeting 0.26/stop loss 0.18

Source:Jupiter Securities Research 19 April 2012

MO R N I N G C O F F E E  - Wednesday, April 18, 2012

U.S. and European market roundup
In Tuesday's rally, each of the three major indexes booked their largest percentage gained since March13.. S&P 500 gained 1.55 %, to 1,390.78. S&P 500 closed shy of its 14-day moving average and easily cleared its 50-day average, suggesting a turn in momentum after the recent pullback. The benchmark dipped below the 50-day line last week for the first time in more than three months. DJIA rose 1.50%.

Earlier in the day, Coca-Cola, Goldman Sachs and Johnson & Johnson all reported profits that beat analysts' estimates, in what has been a surprisingly strong start to earnings season. The better-than-expected results helped ease fears that earnings could start to tail off this quarter. Of the 39 S&P 500 companies that had reported earnings before Tuesday's opening bell, 74.4% beat estimates, according to Thomson Reuters data.

U.S. crude futures rose for a second straight day on Tuesday, as prospects of an earlier-than-expected reversal of the Seaway pipeline to help ease the glut of oil in the Midwest continued to fuel buying. NYMEX, crude for May delivery, which expires on Friday, settled at $104.20 a barrel, gaining $1.27, or 1.23%, the highest since April 2. - Reuters

German DAX 30 index rose 1.5% to 6,725.33, German investor confidence unexpectedly rose for a fifth month in April to the highest in almost two years, suggesting Europe’s largest economy can weather the resurgent debt crisis in the euro region’s periphery. French CAC 40 index rose 1.7% to 3,259.14 and the FTSE 100 index rose 1% to 5,724.90. - Bloomberg

Macro News
Washington-based IMF said in its World Economic Outlook, the world economy will expand 3.5% this year and 4.1% in 2013 raising forecasts made in January from 3.3% for 2012 and 4% for next year. The U.S. will grow 2.1% this year and 2.4% in 2013, up from 1.8% and 2.2% in the lender’s January projections. - Bloomberg

IMF maintained China economy growth target at 8.2% this year- above the Chinese government target of 7.5% - and 8.8% in 2013. - AFP

MIER revise upward growth outlook this year from 3.7% to 4.2%, on improving consumer and business demand. They expect the economy to improve to 4.7% in 2013. - Btimes

Sales of new vehicles in March fell by 15.3% from a year ago to 53,583 units, according to the MAA. The total industry volume for the first quarter this year also recorded a fall by 12.5% to 138,544 units against the corresponding quarter last year.- StarBiz

Corporate News
I-Berhad aims to launch Rm450mil worth of properties a year at i-City in Shah Alam, Selangor, giving it a steady income of RM400mil to Rm500mil by 2014. I-Berhad revenue from developments has been averaging RM15mil a year for the past two years. –Btimes

Hua Yang buys over developer Sunny Mode Sdn Bhd from Nestin Sdn Bhd,it has acquired 1.32mil shares of RM1 each representing 40% of the issued and paid up of the latter, for RM3mil. Sunny owns a vacant leasehold land measuring 28.5 acres located near Seremban, Negeri Sembilan. –StarBiz

Ingenuity Solutions Bhd (Ingens) has obtained a RM125mil contract to be the sole distributor of WiMAX
modems for broadband player Packet One Networks (M) Sdn Bhd (P1). The company said it would supply P1 4G WiMAX modems to 858 P1 authorised resellers throughout Malaysia. –StarBiz

APM Automotive Malaysia Bhd has won Indonesian government permission to set up RM33m facility in West Java. The total capital and investment outlay for the project will be finance by internal generated funds. -SunBiz

Ken Holdings Bhd will branch out into the hospitality sector with its upcoming Ken TTDI (Taman Tun Dr Ismail) commercial development. The Project is due to complete by 2014. FYE 31 Dec 2011, Ken Holdings recorded operating revenue of RM87.2mil. –Btimes

Octagon Consolidated Bhd's subsidiary, Orizon Renewable Energy Pte Ltd has received approval from Sri Lanka's Ministry of Power and Energy to undertake a waste to energy project in Colombo. Octagon said the ministry confirmed that the power tariff applicable to the project was 21.93 Sri Lankan rupee (about 52 sen) per KWh. - Bernama

Malayan Banking Bhd (Maybank) has announced a final cash dividend of 36 sen per share less 25% taxation in respect of the six-month ended Dec 31, 2011. ex-date will be on April 27 and the entitlement date and time will be on May 2 and 5pm respectively.- Bursa

Wijaya Baru Global Bhd said that it was negotiating with interested parties to start timber extraction and thereafter plant oil palm in the Papua Province in Indonesia. The talks are in the preliminary stage and nothing has been finalised yet. -Starbiz

Source:Jupiter Securities Research 18 April 2012

Stock Overview - NAGAMAS - 18 Apr 2012

NAGAMAS ( 8923 : 0.65 ) : Targeting 0.72/stop loss 0.62

Description
Industrial gases, chemicals

Resistance : 0.72 0.765
Support : 0.62

RSI of 49
RSI is recovering

STOCHASTIC
It is recovering

TREND INDICATOR

Comment
It is on a technical rebound to target the 61.8% of 0.72. Resistance is expected at the Double top of 0.765.

Trading Strategy
Buy. Stop loss is at 0.62

Source:Jupiter Securities Research 18 April 2012

Stock Overview - CENSOF - 18 Apr 2012

CENSOF ( 5195 : 0.42 ) : Targeting 0.47/stop loss 0.40

Description
Application softwares

Resistance : 0.47
Support : 0.41

RSI of 42
RSI has stabilised

STOCHASTIC
It is recovering from its oversold level

TREND INDICATOR

Comment
It is in for a range bound trading. As the current level is on the lower boundary of the range, it is expected to bounce back to the upper range of 0.47

Trading Strategy
Buy. Stop loss is at 0.40

Source:Jupiter Securities Research 18 April 2012

Stock Overview - BERTAM - 18 Apr 2012

BERTAM ( 9814 : 0.84 ) : Targeting 1.02/stop loss 0.78

Description
Contractor services

Resistance : 1.02
Support : 0.78

RSI of 60
RSI has stabilised

STOCHASTIC
It is remains firm

TREND INDICATOR

Comment
It is on the verge of breaking out of its consolidation, to target 1.02

Trading Strategy
Buy. Stop loss is at 0.78

Source:Jupiter Securities Research 18 April 2012

Stock Overview - AFFIN - 18 Apr 2012

AFFIN ( 5185 : 3.08 ) : Targeting 3.58/stop loss 3.00

Description

Resistance : 3.58
Support : 3.00

RSI of 56
RSI is recovering

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
Currently it is hovering at the 3.01 support line. It is expected to move higher to 3.58

Trading Strategy
Buy. Stop loss is at 3.00

Source:Jupiter Securities Research 18 April 2012

Daily Summary - 18 Apr 2012

YOUR MORNING COFFEE – Wednesday 18/4/2012

SUMMARY

• Wall St closed 1.5% higher, as the yield on the Spanish bond eased to 5.89%, and Spanish treasury bills attracted strong demand, easing concerns over Europe. IMF also has raised global growth to 3.5%. US
• 1Q’2012 corporate earnings continued to churn above expectation results.
• Dow of 13,115 is on a technical rebound. It is testing the previous high of 13,297. RSI of 54, and Stochastic are recovering.
• Dollar index is lower at 79.5. Upside is at 80.8.
• Crude oil is higher at USD104.2. Upside is at 108.0.
• Dollar yen is higher at 81.0 yen. Upside is at 82.6.
• Euro/dollar is higher at 1.312. Upside is at 1.346.
• Gold is higher at USD1651. Buy. It is about to resume its uptrend.
• Shanghai closed lower at 2,334.
• Singapore STI closed lower at 2,986.
• Ringgit is weaker at 3.061. Downside is at 3.110.
• S’pore ringgit is higher at 2.453. Resistance is at 2.480.
• Malaysian market closed lower at 1596. On the Daily chart, it is in for a small technical rebound, as the RSI of 56 has gone neutral. Upside is at 1615. Today’s range is between 1596 and 1609.
• CPO June futures is higher at RM3499. Support is at 3420.
• Trading : NAGAMAS ( 8923 : 0.65 ) : Targeting 0.72/stop loss 0.62, CENSOF ( 5195 : 0.42 ) : Targeting 0.47/stop loss 0.40,  BERTAM ( 9814 : 0.84 ) : Targeting 1.02/stop loss 0.78, AFFIN ( 5185 : 3.08 ) : Targeting 3.58/stop loss 3.00.

Source:Jupiter Securities Research 18 April 2012

Stock Overview - KNM - 17 Apr 2012

KNM ( 7164 : 0.90 ) : Targeting 1.04/stop loss 0.87

Description

Resistance : 0.93 1.04 1.10
Support : 0.88

RSI of 57
RSI is recovering

STOCHASTIC
It remains firm

TREND INDICATOR

Comment
Once it scales above 0.93, the next target will be 1.04. Stop loss is at 0.87

Trading Strategy
Buy. Stop loss is at 0.87

Source:Jupiter Securities Research 17 April 2012

Morning Coffee 17 April 2012

MO R N I N G C O F F E E - Tuesday, April 17, 2012



U.S. and European market roundup
DJIA rose 0.56%, to 12,921.41 at the close. U.S. retail sales for March shot up 0.8%, sharply higher than the forecast. But the Standard & Poor's 500 Index inched down 0.05%, to 1,369.57. The Nasdaq Composite Index dropped 0.76 %, to close at 2,988.40. (Reuters)

European stock markets extended gains on Monday afternoon in the wake of stronger-than-expected U.S. retail sales data, after retail spending rose 0.8% in March, against economists' expectations for a 0.4% gain. The German DAX 30 index rose nearly 1% to 6,642, and the French CAC 40 index rose 1% to 3,223.17. The FTSE 100 index rose 0.8% to 5,696.13. (MarketWatch)

Macro News
n.a

Corporate News
CIMB Group Holdings Bhd’s getting closer to acquire a nearly 60% stake in Filipino conglomerate San Miguel Corp’s Bank of Commerce (BoC) is now awaiting that country’s central bank approval. The unlisted banking subsidiary is the 16th largest lender by asset base in the Philippines with a 121-branch network. (StarBiz)

Bumi Armada Bhd has won a US$200mil (RM612.6mil) engineering, procurement, installation and commissioning contract via its wholly-owned subsidiary Bumi Armada Caspian LLC from Russian oil major OAO Lukoil. The project is planned to take approximately 32 months with the majority of construction work completed by the end of 2014. (StarBiz)

Affin Holdings Bhd will continue to wait for Bank Sentral Republik Indonesia (BSRI), the Indonesian central bank’s formal agreement to allow Affin to hold at least a 51% stake in PT Bank Ina Perdana. Bank Ina Perdana is a smallish Indonesian bank with about 20 plus branches that Affin intends to convert into a full-fledged Islamic bank after it buys into it. (StarBiz)

Axis Real Estate Investment Trust (REIT) has reported a net profit increase of 27.1% from a year earlier to
RM20.96mil for its first quarter ended March 31, 2012, on higher revenue and property revaluation surplus. It had proposed a first interim income distribution of 4.3 sen per unit. (StarBiz)

Source:Jupiter Securities Research 17 April 2012

Stock Overview - WTK - 17 Apr 2012

WTK ( 4243 : 1.52 ) : Targeting 1.75-1.85/stop loss 1.45

Description
Timber

Resistance : 1.75 1.85
Support : 1.45

RSI of 63
RSI is recovering

STOCHASTIC
It remains firm

TREND INDICATOR

Comment
It is on a technical rebound to target the 61.8% of 1.75. Resistance is expected in the region of 1.85.

Trading Strategy
Buy. Stop loss is at 1.75

Source:Jupiter Securities Research 17 April 2012

Stock Overview - RSAWIT - 17 Apr 2012

RSAWIT ( 5113 : 1.12 ) : Sell – hit 1.13 target

Description
CPO

Resistance : 1.15
Support : 1.05 1.11

RSI of 64
RSI is recovering

STOCHASTIC
It is overbought, indicating that it is due for a correction

TREND INDICATOR

Comment
It has hit our target of 1.13 on the buy call of 4/4/2012. As the upside is likely to face heavy resistance at the Double top of 1.15, it is best to take profit. A dip below 1.11, will pull it down to 1.05

Trading Strategy
Take profit. Limited upside

Source:Jupiter Securities Research 17 April 2012

Stock Overview - KHSB - 17 Apr 2012

KHSB ( 6246 : 0.53 ) : Targeting 0.66/stop loss 0.50

Description
Property

Resistance : 0.66
Support : 0.50

RSI of 50
RSI is recovering

STOCHASTIC
It is on an up swing

TREND INDICATOR

Comment
It is on a technical rebound to target the Double top of 0.66. A tight stop loss should be placed at 0.50

Trading Strategy
Buy. Stop loss is at 0.50

Source:Jupiter Securities Research 17 April 2012

Daily Summary - 17 Apr 2012

YOUR MORNING COFFEE – Tuesday 17/4/2012

SUMMARY

• Wall St closed 0.5% higher, due to up beat reports on retail sales and corporate earnings. Retail sales rose 0.8% in March, beating the 0.3% estimate. However manufacturing activity in New York fell sharply on the Empire index, down to 6.6 from 20.2. And the yield on the Spanish bond rose.
• While the Dow of 12,921 is on a technical rebound, caution is on a key support 12,710, which will target lower level of 12,620, if breached. Resistance is at 13,154. RSI of 46, and Stochastic are on base forming.
• Crude oil is higher at USD102.9. Upside is at 108.0.
• Dollar yen is lower at 80.3 yen. Downside is at 80.1.
• Euro/dollar is higher at 1.312. Upside is at 1.346.
• Gold is lower at USD1649. Buy. It is about to resume its uptrend.
• Shanghai closed lower at 2,357.
• Singapore STI closed higher at 2,988.
• Ringgit is weaker at 3.067. Downside is at 3.110.
• S’pore ringgit is higher at 2.449. Resistance is at 2.480.
• Malaysian market closed lower at 1597. On the Daily chart, it is in for a small technical rebound, as the RSI of 57 has gone neutral. Upside is at 1615. Today’s range is between 1595 and 1605.
• CPO June futures is lower at RM3489. Support is at 3420.
• Trading : KNM ( 7164 : 0.90 ) : Targeting 1.04/stop loss 0.87, RSAWIT ( 5113 : 1.12 ) : Sell – hit 1.13 target, KHSB ( 6246 : 0.53 ) : Targeting 0.66/stop loss 0.50, WTK ( 4243 : 1.52 ) : Targeting 1.75-1.85/stop loss 1.45

Source:Jupiter Securities Research 17 April 2012

Morning Coffee - 16 April 2012

MO R N I N G C O F F E E Monday, April 16, 2012


U.S. and European market roundup
U.S. stocks fell, sending the Standard & Poor’s 500 to its first back-to-back weekly decline since November, after employers added fewer jobs than estimated and investor concern over global economic growth intensified. The S&P 500

dropped 2 percent to 1,370.26, its worst week since Dec. 16. The decline came even as the benchmark index for American equities had its best two-day gain of the year on April 11 and 12, sparked by optimism about earnings and signals from the Federal Reserve that interest rates would remain low. The Dow lost 210.55 points, or 1.6 percent, to 12,849.59. Equities fell as U.S. employers added 120,000 jobs in March, less than the median economist forecast of 205,000 in a Bloomberg survey. Consumer confidence dropped and more Americans than forecast filed claims for jobless benefits. A surge in Spanish and Italian bond yields fueled concern Europe’s debt crisis is worsening, while China said its economy expanded 8.1 percent in the first quarter, the slowest pace since 2009. The S&P 500 has slumped 2.7 percent in April, poised for the biggest monthly loss since September. The index finished the previous three months with a 12 percent gain, producing the best first-quarter rally since 1998.

European stocks dropped for a fourth week, the longest streak of losses since August, as concern resurfaced about the region’s debt crisis and economic reports in China and the U.S. missed estimates. FTSE 100 (UKX) Index posting its fourth straight weekly loss, after China’s growth slowed more than forecast last quarter. The European Central Bank will restart its controversial government bond purchases rather than offer banks another round of unlimited three-year loans as the sovereign-debt crisis worsens, a survey of economists shows. Of 22 economists polled this week, 17 predicted that the ECB will resume the Securities Markets Program (ECBCSMP), while only one forecast it will offer another batch of three year cash. Nine said the central bank might consider shorter maturity loans of one or two years.

Macro News

n.a

Corporate News

The Affin Bank group has boosted its Tier 1 and Tier 2 capital by RM500mil in the first quarter of this year, and further capital injection, in view of Basel 3 (global regulatory standard) requirements, is in the pipeline. Loan growth was 17% in 2010 and 14% in 2011. For 2012, the bank aims to maintain double-digit loan growth momentum. Affin's loan deposit (LD) ratio has stabilized at 80%-85%, a balance that is within the industry standard. According to the Affin Bank's 2011 annual report, deposits hit RM36.5bil while loan base was at RM29.7bil.The banking group's asset base has doubled to RM50bil in six years. (StarBiz)

The Government will not interfere with any changes made by the country's biggest automotive company DRBHicom Bhd with regards to national carmaker Proton Holdings Bhd. Second Finance Minister Datuk Seri Ahmad Husni Hanadzlah said as the new owner of Proton, DRB-Hicom had every right to make changes which best suited its business direction. Ahmad Husni was commenting on speculation that there would be a management change in Proton following its recent acquisition by DRB-Hicom. It is widely speculated that Proton group managing director Datuk Seri Syed Zainal Abidin Syed Mohamed Tahir would resign from the company soon while its chairman Datuk Seri Nadzmi Mohd Salleh had resigned last month. (StarBiz)

Knight Frank in its Second-Half 2011 Real Estate Highlights report said the local hospitality sector remained optimistic that performance levels would show steady growth. It said this was despite analysts predicting moderating economic expansion ahead as a result of slowing external demand and continued uncertainties in the Middle East, Europe and the United States Knight Frank said tourism contribution to gross national income was expected to almost triple the 2010 figure of RM34bil to RM94bil by 2020 (ranked the fifth-largest contributor to national economy in 2010). The growth-centred Budget 2012, announced in October last year, is generally well received by the wider hospitality sector. (StarBiz)

Iskandar Regional Development Authority (Irda) anticipates the second phase of Iskandar Malaysia development from 2011 to 2015 to be more challenging than the first phase. Chief executive officer Ismail Ibrahim said the next level for Iskandar Malaysia was all about growth and expansion as the planning and building foundations were put in place from 2006 to 2010. Ismail said the next three years would be on delivering and ensuring that the development from phase one was able to create more of the upsides rather than the downsides. He said risks were unavoidable in undertaking an economic growth corridor of a scale like Iskandar Malaysia, hence stakeholders needed to do risk management. (StarBiz)

Projek Lintasan Kota Holding Sdn Bhd (Prolintas) a wholly owned subsidiary of Permodalan Nasional Bhd (PNB), aims to go ahead with the Sungai Besi-Ulu Kelang elevated expressway (SUKE) and Damansara–Shah Alam Expressway (DASH) projects by the second quarter of next year. The two proposed expressways, which were mooted for development under the 10th Malaysia Plan (2011-2015), were at the planning stage. SUKE and DASH were the two of seven highways projects estimated to cost about RM19bil announced by the government under the 10th Malaysia plan. The two expressways were awarded to Prolintas under the build, operate and transfer concept. (BizTimes)

YTL Communications, a subsidiary of YTL power International Bhd, and Xchanging, a UK-based business process and technology and deliver enhanced mobile Internet and cloud based hosting offering in Malaysia. Known as Xchanging Malaysia Sdn Bhd, the 50-50 joint venture will combine Xchanging’s technology, delivery and expertise and international domain known with YTL Communications’ award wining 4G network and market reach to deliver next-generation, mission–critical; clouds solution and platform. Xchanging is a business process and technology service provider and integrator specializing in financial services technology and procurement processing skills and capabilities to other vertical industry and market sectors. (BizTimes)

Samudera Shipping Line Ltd (Samudera ) a regional container shipping line in Singapore, Has formed a joint venture with QEL Shipping Services Sdn Bhd to capitalize on the shipping agency business in Malaysia. Samudera incorporated in Singapore in 1993, was listed on SESDAQ in October 1997 and later upgraded to the main market on the Singapore Stock Exchange since July 2000. QEL shipping Services is understood to be one of the entities under the QEL Holdings Sdn Bhd, a one-stop service provider in the shipping and logistics in Malaysia. (BizTimes)

The newly-buily Tanjung Bin (ATB) oil terminals near Port of Tanjung Pelepas in Johor has started operations after receiving its first fuel oil cargo earlier last week. The terminal, owned and operates by VTTI, a 50:50 joint venture between Vitol and MISC Bhd, received its first fuel oil cargo from the MT Kition, a 100,000 deadweight tonne tanker on April 10. ATB terminals is grassroots projects which began construction in September 20009, The first phase consists of 41 storage tanks, totaling 841,000 cu meters (cu m) storage for fuel oil, petroleum and middle distillates. (BizTimes)

Source:Jupiter Securities Research 16 April 2012

Stock Overview - CEPAT - 16 Apr 2012

CEPAT ( 8982 : 1.18 ) : Targeting 1.32/ stop loss 1.14

Description
CPO

Resistance : 1.32
Support : 1.14

RSI of 69
RSI is rising

STOCHASTIC
It is trending upwards

TREND INDICATOR

Comment
The recent run up is heading for 1.32. A tight stop loss should be placed at 1.14

Trading Strategy
Buy. Stop loss is at 1.14

Source:Jupiter Securities Research 16 April 2012

Stock Overview - AIRASIA - 16 Apr 2012

AIRASIA ( 5099 : 3.46 ) : Targeting 3.74/stop loss 3.38

Description

Resistance : 3.57 3.74
Support : 3.37

RSI of 47
RSI is starting to recover

STOCHASTIC
It is on an upswing

TREND INDICATOR

Comment
Following the Double Bottom of 3.35, it is heading higher. Upside is likely to be capped at the overhead
trendline of 3.74

Trading Strategy
Buy. Stop loss is at 3.37

Source:Jupiter Securities Research 16 April 2012

Stock Overview - MBSB - 16 Apr 2012

MBSB ( 1171 : 2.16 ) : Take profit

Description

Resistance : 2.28
Support : 1.62 1.96

RSI of 41
RSI is weakening

STOCHASTIC
It is trending downwards

TREND INDICATOR

Comment
The recent run up has topped at the 61.8% retracement of 2.49-2.52. And the current correction is heading
to 1.96

Trading Strategy
Take profit

Source:Jupiter Securities Research 16 April 2012

Stock Overview - AWC - 16 Apr 2012

AWC ( 7579 : 0.31 ) : Targeting 0.40/stop loss 0.28

Description
Engineering consultancy

Resistance : 0.34 0.40
Support : 0.28

RSI of 72
RSI is overbought

STOCHASTIC
It remains firm

TREND INDICATOR

Comment
Following the consolidation breakout, it is heading for 0.40. A small pullback to 0.30 is possible, before
pushing for 0.40.

Trading Strategy
Buy. Stop loss is at 0.28

Source:Jupiter Securities Research 16 April 2012

Daily Summary - 16 Apr 2012

YOUR MORNING COFFEE – Monday 16/4/2012

SUMMARY

• Wall St closed 1.0% lower, affected by the slow down in the Chinese economy, which recorded 8.1% growth in 1Q’2012. This was despite a better than expected 1Q’2012 corporate earnings. Consumer
• sentiment index dipped to 75.7 in April.
• While the Dow of 12,849, may stage a technical rebound, a dip below 12,710 will target lower level of 12,620. Resistance is at 13,154. RSI of 42, and Stochastic are on base forming.
• Crude oil is lower at USD102.8. Upside is at 108.0.
• Dollar yen is lower at 80.9 yen. Downside is at 80.1.
• Euro/dollar is lower at 1.306. Upside is at 1.346.
• Gold is lower at USD1660. Buy. It is about to resume its uptrend.
• Shanghai closed higher at 2,359.
• Singapore STI closed higher at 2,989.
• Ringgit is firmer at 3.058. Downside is at 3.110.
• S’pore ringgit is higher at 2.444. Resistance is at 2.440.
• Malaysian market closed higher at 1603. On the Daily chart, it is in for a small technical rebound, as the RSI of 62 has gone neutral. Upside is at 1615. Today’s range is between 1597 and 1607.
• CPO May futures is lower at RM3565. Resistance is at 3630.
• Trading : AWC ( 7579 : 0.31 ) : Targeting 0.40/stop loss 0.28, MBSB ( 1171 : 2.17 ) : Take profit, CEPAT ( 8982 : 1.18 ) : Targeting 1.32/ stop loss 1.14, AIRASIA ( 5099 : 3.47 ) : Targeting 3.74/stop loss 3.38.

Source:Jupiter Securities Research 16 April 2012

Stock Overview - VERSATL - 13 Apr 2012

VERSATL ( 4995 : 0.32 ) : Targeting 0.38/stop loss 0.29

Description
Packaging products manufacturer

Resistance : 0.38
Support : 0.29

RSI of 41
RSI is starting to recover

STOCHASTIC
It is oversold

TREND INDICATOR

Comment
With oversold technicals, it is in for a rebound to 0.38. Suggest to buy at current level, and sell at 0.38. A
tight stop loss should be placed at 0.29

Trading Strategy
Buy. Stop loss is at 0.29

Source:Jupiter Securities Research 13 April 2012

Stock Overview - LINGUI - 13 Apr 2012

LINGUI ( 2011 : 1.54 ) : Take profit


Description
Timber

Resistance : 1.60
Support : 1.38

RSI of 50
RSI is neutral

STOCHASTIC
It is neutral

TREND INDICATOR

Comment
It has topped out at the Double top of 1.60. With an overhead resistance of 1.55, it is expected to pullback
to test the price gap of 1.38

Trading Strategy
Take profit

Source:Jupiter Securities Research 13 April 2012

Stock Overview - JOHOTIN - 13 Apr 2012

JOHOTIN ( 7167 : 1.37 ) : Take profit / limited upside

Description
Containers and packaging manufacturer

Resistance : 1.47
Support : 1.26

RSI of 72
RSI is overbought

STOCHASTIC
It is overbought

TREND INDICATOR

Comment
Following the recent correction, the current upmove has hit 1.37 target. As the upside is limited to 1.47, suggest taking profit

Trading Strategy
Take profit

Source:Jupiter Securities Research 13 April 2012

Stock Overview - KENCANA - 13 Apr 2012

KENCANA ( 5122 : 3.16 ) : Targeting 3.44 /stop loss 3.04

Description

Resistance : 3.44 3.70
Support : 3.06

RSI of 58
RSI is on the rise

STOCHASTIC
It is neutral

TREND INDICATOR

Comment
The recent uptrend remains intact, with an upside of 3.44, and 3.70

Trading Strategy
Buy. Stop loss is at 3.04

Source:Jupiter Securities Research 13 April 2012

Daily Summary - 13 Apr 2012

YOUR MORNING COFFEE – Friday 13/4/2012

SUMMARY

• Wall St closed 1.4% higher, on bargain hunting as concerns over
• Europe eased following a rally in Spanish and Italian bonds. And there is also hope of a better than expected 1Q’2012 corporate earnings. Weekly initial jobless claims rose to 380,000, higher than expected.
• Dow of 12,986, is in for a technical rebound, as technicals have hit oversold level. It has hit a support at 12,710, indicating a likely rebound, with resistance at 13,154. RSI of 48, and Stochastic are on an early uptick.Dollar Index is lower at 79.7. Upside is at 80.8.
• Crude oil is higher at USD103.6. Upside is at 108.0.
• Dollar yen is lower at 80.9 yen. Downside is at 80.1.
• Euro/dollar is higher at 1.319. Upside is at 1.346.
• Gold is higher at USD1676. Resistance is at 1726.
• Shanghai closed higher at 2,350.
• Singapore STI closed higher at 2,978.
• Ringgit is firmer at 3.054. Downside is at 3.110.
• S’pore ringgit is higher at 2.444. Resistance is at 2.440.
• Malaysian market closed higher at 1601. On the Daily chart, it is in for a small technical rebound, as the RSI of 60 has gone neutral. Support remains at 1570. Today’s range is between 1600 and 1610.
• CPO May futures is lower at RM3591. Resistance is at 3630.
• Trading : VERSATL ( 4995 : 0.32 ) : Targeting 0.38/stop loss 0.29, LINGUI ( 2011 : 1.54 ) : Take profit
• JOHOTIN ( 7167 : 1.37 ) : Take profit / limited upside, KENCANA ( 5122 : 3.16 ) : Targeting 3.44 /stop loss 3.04

Source:Jupiter Securities Research 13 April 2012