Maybulk: Symmetrical Triangle.
Chart 1: Maybulk, from 30/01/2009 to 24/03/2010.
As shown on chart 1, price of Maybulk formed a Symmetrical Triangle, with the T1 line being the dynamic resistance and the T2 line being the dynamic support. The formation of a Symmetrical Triangle suggests that price is now consolidating while preparing for a new trend, and the new trend shall only be revealed when price break out away from the Triangle. Another characteristic of Triangle is that the volatility of price is gradually reducing, while the Symmetrical Triangle suggests equal strength of the resistance and the support, thus giving no bias on either side.
As indicated by A, price of Maybulk is now moving towards the tip of the Symmetrical Triangle, which suggests that a break out is likely to take place in near term. If price should break above the T1 line, with substantial volume (as indicated by B), it would be a bullish break out, thus a buying signal, and the 14, 21, 31 EMA shall serve as the dynamic support as well as the trailing stop reference.
In contrary, if price should break below the T2 line after being resisted by the T1 line, it would be a bearish break out, suggesting that the price movement is likely to remain weak, thus a signal to take profit or the cut loss. Then, the 14, 21, 31 EMA would be serving as the dynamic resistance. Other than the T1 and T2 lines, resistance for Maybulk are found at RM3.24 and RM3.26level, while the supports are at RM 3.11 and RM3.00.
| 4 Q Rolling PER | 12.8 times | Dividend Yield | 4.81% |
| Dividend | Dividend Yield | Net Profit Ratio | |
| 31/12/2009 | 15 sen | 4.87% | 80.27% |
| 31/12/2008 | 40 sen | 16.74% | 63.91% |
| 31/12/2007 | 38 sen | 8.52% | 89.55% |
| 31/12/2006 | 30 sen | 11.72% | 70.73% |
| 31/12/2005 | 17 sen | 8.10% | 162.89% |
Table 1: Maybulk, yearly dividend, dividend yield, and Net profit ratio.
Gpacket: Symmetrical Triangle
Chart 2: Gpacket, from 12/11/2009 to 24/03/2010.
As shown on chart 2, price of Gpacket formed a Symmetrical Triangle, with L1 line being the dynamic support and the L2 line being the dynamic resistance. As indicated by A, price of Gpacket has been trading within the boundary of the Symmetrical Triangle for long time, and now it is getting closer to the tip of the Triangle, which implies that a break out is due to take place.
If price should break above the L2 line, it would be a bullish break out, provided that the volume is significantly stronger, which would confirm such bullish signal. Then, the 14, 21, 31 EMA shall be serving as the dynamic support, and for those investors who are already holding this share, it would be a good idea to continue holding them until price should break below the 14, 21, 31 EMA. Next resistances for Gpacket are found at RM1.26 and RM 1.45.
On the other hand, if price should break below the L1 line, it would be a bearish break out, thus a signal suggesting to take profit or the cut loss, and the 14, 21, 31 EMA shall be serving as the dynamic resistance. Next supports for Gpacket are at RM1.10 and RM1.00.
| 4 Q Rolling PER | -2.93 times | Dividend Yield | 0% |
| Dividend | Dividend Yield | Net Profit Ratio | |
| 31/12/2009 | 0 sen | 0% | -75.17% |
| 31/12/2008 | 0 sen | 0% | -62.18% |
| 31/12/2007 | 0 sen | 0.44% | 24.55% |
| 31/12/2006 | 2 sen | 0.98% | 55.88% |
| 31/12/2005 | 2 sen | 0% | 80.54% |
Table 2: Gpacket, yearly dividend, dividend yield, and net profit ratio.
Leader: Break out above Ascending Triangle.
Chart 3: Leader, from 23/11/2009 to 24/03/2010.
Let's review last weeks's case study of Leader. Price of Leader has been consolidating within the Ascending Triangle for a long time, while the T1 line is still serving as the dynamic support for its mid term uptrend, but the upside room is limited unless a bullish break out above the RM0.93 ~ RM0.96 resistance. As indicated by A, price broke above the resistance line, with strong volume (as indicated by B), suggesting some increase of fresh capital inflow, to off set the selling pressure at the resistance level.
The 14, 21, 31 EMA shall continue serving as the dynamic support for Leader and provided that price should remains above the dynamic support, the uptrend remains intact. Immediate support is at RM0.93 ~ RM0.96 while the next resistance is at RM1.00.
| 4 Q Rolling PER | 7.59 times | Dividend Yield | 3.23% |
| Dividend | Dividend Yield | Net Profit Ratio | |
| 31/12/2009 | 3 sen | 3.31% | 2.74% |
| 31/12/2008 | 3 sen | 6.82% | 2.56% |
| 31/12/2007 | 3 sen | 2.75% | 2.34% |
| 31/12/2006 | 1.5 sen | 2.65% | 1.49% |
| 31/12/2005 | 0 sen | 0% | 1.37% |
Table 3: Leader, yearly dividend, dividend yield, and net profit ratio.
Conclusion:
Quite often, price forms Triangle patterns, and other than showing a consolidating signal, triangles also imply a break out timing, in which a trained analyst would spot the precise timing.
Copyright © 2009 Straits Index (M) Sdn BhdImportant Disclaimer:These content provided by Straits Index (M) Sdn Bhd is solely for education and information purposes only, and do not suggest any investment advices. All information displayed are believed to be accurate and reliable. Interpretation of the data or analysis is at the reader's own risk. Straits Index (M) Sdn Bhd reserves the rights but obligations to update, admen, or even terminate the materials. 重要声明:以上的内容由海峡指数(马)私人有限公司提供,纯粹是教育性质, 并不是任何的投资忠告。所有资料显示认为是准确和可靠的。对数据或分析的解释和用途是在于用户自己的风险。海峡指数(马)有限公司持有保留及义务更新,甚 至终止材料的权利。
