– Affin Holdings (AHB MK; RM2.29, BUY) – Broke out of its rising wedge pattern.
– GHL Systems (GHLS MK; RM0.53, SELL) – Unload on strength.
– Efficient E-Solutions (EES MK; RM0.22, SELL) – Downside risks still prevail.
_________________________________________________________________________
Affin Holdings (AHB MK; RM2.29) – BUY
FY10P/E: 9.6x, P/BV: 0.7x
• Affin broke out of its rising wedge pattern yesterday on strong volume. If it can hold on above the resistance-turned-support trend line, we think this uptrend still has legs.
• Indicators are progressing well. Both MACD and RSI signal lines are still rising. However, expect some volatility during the based-building period as RSI is now overbought.
• Traders with greater risk appetite may start to nibble. If the RM2.19 trend line support holds firm, next upside target is at RM2.38-RM2.45. Cut losses if it beaches RM2.18.
Affin Holdings Berhad is an investment holding company. Through its subsidiaries, the company provides a variety of financial services, such as commercial banking, property management, share nominee, and trustee management services. Affin Holdings also operates a discount house, manages unit trust, and provides insurance and money broking services.
__________________________________________________________________________
GHL Systems (GHLS MK; RM0.53) – SELL
FY10P/E: N/A, P/BV: 0.9x
• The stock is still trapped in a rising wedge pattern. This is usually an early reversal signal. At this juncture, although it seems that the candles could still inch higher, upward momentum is slowly dwindling.
• Its indicators are also showing a bit of lacklustre trends here. MACD histogram bars are losing a bit of momentum while its RSI indicator has also turned flattish.
• As near-term upside is likely to be capped, possibly at RM0.575-RM0.60 zone, traders might do well selling into strength. Meanwhile, if the candles break below the RM0.475 support trend line, a deeper correction is likely to be underway.
GHL Systems Berhad provides online transaction services with emphasis on payment and transaction processing. Through its subsidiaries, the company also deals with electronic draft capture (EDC) equipments.
______________________________________________________________________
Efficient E-Solutions (EES MK; RM0.22) – SELL
FY10P/E: N/A, P/BV: 1.6x
• Efficient’s uptrend channel from Sep 09 ended when it hit the 52-week high of RM0.275 on 20th Oct. Since then, it was the bears that dominated its trading.
• Despite recent pullback, we think traders should step to the sidelines. The 38.2% FR level failed to hold yesterday, suggesting that the bears might start another wave of selling.
• If the candles fail to move back above RM0.225 soon, we think there is a strong chance of a renewed downward pressure. Next support is weak at RM0.205 and RM0.185. Unload on strength.
Efficient E-Solutions Bhd, through its subsidiaries, primarily provides integrated outsourcing solutions in data and document processing. The company serves banks, brokerage firms, insurance companies, and telecommunications operators. Efficient E-Solutions also provides electronic bill presentment services.
No comments:
Post a Comment