Sakari and NOL
Firstly, Sakari...
Our last post left off from where Sakari will be heading to, Below are my 3 possible options.
What to take note in the future :
1) Further shakeout to drive investor might occur.
2) Thin spread with low volume might indicate a lack of demand from retailers and SM to push price further up. From then, we might see SM taking profit subtly.
3) If SM is keen in breaking new high, do take note of the volume. Always remember effort must always translate to result! It can always be profit taking in the process.
A combination of No.1and 3 has happened. Last Wednesday, we see a shakeout in the beginning of the session and Sakari closed at $1.50, with huge volume. After 3 shakeouts, finally the SM has pushed them above the $1.50. The strong volume indicates the willingness SM wanting to push the counter up.
The question now is how far will Sakari go? In my opinon, anything can happen till their EX-date. People who followed Sakari in the past know how 'sick' this stock can climb, if they want to.
If you are thinking of longing Sakari, attempt to Queue it at lower price and try to buyit on a down day, or a shakeout.
While STI has been resilient, any bad new globally will potentially impact Sakari and this could be deemed as an opportunity for the SM to mark down to accumulate stocks at a lower price.
If you are thinking of taking profit, my opinon is that this counter can potentially got a little higher. Its 2 cents USD dividend/share seems attractive enough and its EX date is on 30 Aug. When the dates are closer, do watch out for the "buying climax" and it could be the best time to off load your Sakari.
I will illustrate some examples with buying climax in a seprate post.
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Next, we have NOL. Huge selling today after their announcement of their result. They make a one time net loss.
Scrap away the fundamental, if it is really that bad? Will the price be supported? Will there be huge buyers buying them at these prices? I looked at their fundamental, and it does not seem that bad afterall.
Deciphering the SM play, today candle stick and volume is pretty bullish. The transacted amount from 1.145 - 1.165 equals about 8 million at the moment.
A lot will depend on Monday, then I will have a clearer view of what the SM might be doing.
They might....
1) Shakeout on bad news/no news - Keep a close watch on region between 1.145-1.155. They are potential entry prices when the SM tests them at these levels again during a shakeout. If volume is low this mean that supply has dried up and it could potentially be a very good long opportunity.
2) Gap down with huge volume. If NOL faces more downward pressure and gapped down with huge volume, stay out and wait for clearer signal. Immediate support at 1.10, then 1.06 then finally $1.00.
Our last post left off from where Sakari will be heading to, Below are my 3 possible options.
What to take note in the future :
1) Further shakeout to drive investor might occur.
2) Thin spread with low volume might indicate a lack of demand from retailers and SM to push price further up. From then, we might see SM taking profit subtly.
3) If SM is keen in breaking new high, do take note of the volume. Always remember effort must always translate to result! It can always be profit taking in the process.
A combination of No.1and 3 has happened. Last Wednesday, we see a shakeout in the beginning of the session and Sakari closed at $1.50, with huge volume. After 3 shakeouts, finally the SM has pushed them above the $1.50. The strong volume indicates the willingness SM wanting to push the counter up.
The question now is how far will Sakari go? In my opinon, anything can happen till their EX-date. People who followed Sakari in the past know how 'sick' this stock can climb, if they want to.
If you are thinking of longing Sakari, attempt to Queue it at lower price and try to buyit on a down day, or a shakeout.
While STI has been resilient, any bad new globally will potentially impact Sakari and this could be deemed as an opportunity for the SM to mark down to accumulate stocks at a lower price.
If you are thinking of taking profit, my opinon is that this counter can potentially got a little higher. Its 2 cents USD dividend/share seems attractive enough and its EX date is on 30 Aug. When the dates are closer, do watch out for the "buying climax" and it could be the best time to off load your Sakari.
I will illustrate some examples with buying climax in a seprate post.
----------------------------------------------------------------------------------------------------------------------------
Next, we have NOL. Huge selling today after their announcement of their result. They make a one time net loss.
Scrap away the fundamental, if it is really that bad? Will the price be supported? Will there be huge buyers buying them at these prices? I looked at their fundamental, and it does not seem that bad afterall.
Deciphering the SM play, today candle stick and volume is pretty bullish. The transacted amount from 1.145 - 1.165 equals about 8 million at the moment.
A lot will depend on Monday, then I will have a clearer view of what the SM might be doing.
They might....
1) Shakeout on bad news/no news - Keep a close watch on region between 1.145-1.155. They are potential entry prices when the SM tests them at these levels again during a shakeout. If volume is low this mean that supply has dried up and it could potentially be a very good long opportunity.
2) Gap down with huge volume. If NOL faces more downward pressure and gapped down with huge volume, stay out and wait for clearer signal. Immediate support at 1.10, then 1.06 then finally $1.00.
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