Yes, you are right.

From my past observations, a stock needs to stabilise after FF has almost pulled out of this stock. Then, it is a better time to buy.

Having say that, it is my personal opinion that it is advisible to avoid political linked stocks at this particular moment.

They certainly need more cashflow, government bail out in term of projects or indirectly using EPF to buy up their shares.

And during the good time, they just privatalise the companies at suppressed share prices ( e.g T.. )

One sad thing, is the colors of the cats ( the management ) still the top priority when selecting the good management to run their companies ( political linked ). Nissan of Japan engages a Brazilian CEO to help them to turnaround their company. It is a good cat that can catch rats that matters most in a Globalised World.

The bottom line is whether you are short term traders or long term investors.

Judge your own.

This post has been edited by SKY 1809: Nov 23 2008, 10:35 AM

Like Zelan another stock to look is LIONIND, this stocks plunge down very fast/steep recently to about 0.30+. Its very scary eventhough theres 1% dividen annouced.

The way it plunge down very fast show theres not much strong support and its like a free fall unlike Zelan.. fall slowly with strong support.
My remiser also suggest me to consider picking up this Lionind stock when it drop to bout 0.40 for mid term play but i stay sideline coz the plunge is too fast n i feel there must be something
wrong internally with this counter. I try to chk its financial report, everything seems good. Cant really now the reason why it fall badly, maybe coz recession fear i guess?

Later when market stable abit and ppl realize there nothing wrong fundamentally with this stocks, they start to pick it up back and the price jump back up close to 0.80!
Almost 100% profit if bought at its low price earlier.

This post has been edited by viper88: Nov 23 2008, 10:33 AM

I'm interested with this stock too. Last closed at 0.69 (+0.07).....

Waiting for it to drop some more!

Got it from another blog.......

The reason for Zelan price going down is pretty simple.

The CEO is sacked by the board recently i.e. effective 31/Jan 09. For the interim period the COO KHoo will lead the operations.

CEO is selling his holiding of Zelan (said to be over 35 Million shares) via his investment vehicle Noble Gem Sdn Bhd (NGSB). After all the sell off, CEO still holds about .05% shares.

My guess is that the recent reduction in profits which brought the profit for Q2 to 20 Million is mainly due to the losses in Property sector. This could be the reason that the board let the CEO 'retire'. I reckon that Zelan is a very good share mainly because:

1. Cash pile its holding
2. Very healthy order book -- The indonesian power plant, construction and power plants in Middle East ..
3. Backed by Syed Mukhtar via MMC -- this was the reason Zelan got all the limelight specially on the power plant front and his contacts in middle east are very well known.

Another factor of the stock being battered is the litigation/suit against MMC-Gamuda.

Is there any possibility of any overseas projects running into delay or losses? Ranhill, Peremba come to mind.

Earlier this month Joint Venture Termination in relation to Meena Plaza Project in United Arab Emirates.

Ok, here's the reason why Zelan shares were sold down by it's CEO...

How Zelan started was that it's business was injected into MMC's Tronoh. Hence, there are 2 main shareholders - 38% by MMC (controlled by Al Bukhary) and 22% by the current CEO.

Now there's a board tussle and MMC's obviously winning with their bigger share and so did not renew the CEO's contract. Rumour has it that Al Bukhary will put his own man as CEO with plans to either take Zelan private or inject MMC Engineering into Zelan.

That's why the CEO sold off his stake.

If want to speculate i personally think HUAAN is a better counter for speculate... once earn 2 cents and above can cabut already ....Besides, i think its balance sheet is quite healthy From what i know Huaan has been sliding from RM 1.80 last year until 0.26 sen

All the construction counter are too complicated and hard to predict their futures...For me is no need to research so much on the fundamental side as it will not help much ....

Yup, due to the nature of the business, construction company financial issue can have big swing and unpredictable.

So many forumers interested in Zelan recently, while its major shareholders and directors are dumping.

From Gamuda to Zelan, seems like we have a trend recently that construction company directors and its foreign shareholders are disposing their stake.

Monday: Dow Red Red Red?

http://www.cnbc.com/id/27859019

US government will not bail out Citi like how it bailed out AIG.

They talks only, as Citi balance sheet still OK generally until now, so they can talk whatever, free capitalism, no intervention blar blar.
But situation changes, then can simply change one, it may be come out another form of bail out but not similar to AIG, so their word still right.

But lately, US market particularly is moving quite volatile in the last hour of trading, whole day moved quite stable within 100 points then last hour or so, DJIA can suddenly moved 400-500 points either up or down, this has happened quite consecutive of trading day lately.
VIX is hovering around 70-80 which shows there is still a lot of fear and uncertainty in the market. But for Asian market, recently we saw they are not reacting as much as DJ shows, more flat trend.

On the contary Cherroy, i have seen FKLI bounced up and down like a yoyo, and even all brokerage houses have to increase margin to 5 k to protect themselves from this volatility that Dow has been seeing.

Yoyo is good, up down up down. Easy to make money and risk is smaller.

At least recently we don't have 50 points plus swing in the FKLI, everyday is range bound within 10-20 points only.

Recession is Coming to Town

You’d better watch out
You’d better not cry
You’d better keep cash
I’m telling you why:
Recession is coming to town.

It’s hitting you once,
It’s hitting you twice
It doesn’t care if you’ve been careful and wise
Recession is coming to town

It’s worthless if you’ve got shares
It’s worthless if you’ve got bonds
It’s safe when you’ve got cash in hand
So keep cash for goodness sake, HEY

You’d better watch out
You’d better not cry
You’d better keep cash
I’m telling you why:
Recession is coming to town!

Finance products are confusing
Finance products are so vague
The banks make you bear the cost of risk
So keep out for goodness sake, OH

You’d better watch out
You’d better not cry
You’d better keep cash
I’m telling you why:
Recession is coming to town

http://thestar.com.my/columnists/story.asp...usiness/2614970

Obama has his own ways of handing the corporate people. If he is not happy with the auto makers , he would use the congress to pass the news that no bail outs and so on. The auto makers in a way have to give some concessions in exchange for some forms of bail out. Many auto makers oledi returned their private corporate jets.

Citi has to beg the US Government or else facing the risks of being nationalised .

The drop in shares would indicate that.

http://www.cnbc.com/id/27860878,

Will Malaysia government follow the rules and open up the auto sector? Malaysia has been protecting "local pride" for so many years n i really doubt that this will happen.

How about this comment from him "So let us maintain a sense of proportion about things"........ in terms of stocks, does it mean, don't panic, buy more shares!!!

Any tips about this week? Hold on to your money and don't buy shares as it will drop further?

This post has been edited by kmarc: Nov 23 2008, 04:20 PM

Investing in shares could be both in the form of Science and Art.

Share prices could drop like stones, could rock up as gold.

The important thing is whether :-

You see gold in stones ( in bad times )

or You see stones in gold ( in boom times ).


Citi share is dropping like a stone now, it does not mean that it could not become gold later.




This post has been edited by SKY 1809: Nov 23 2008, 04:47 PM

I need to seek advice from experts here. Please share your thoughts on these counters/companies I'm looking at.

CSCTEL - Near future doesn't look too bright, with sales expected to decline. The next quarter is expected to be a loss.

UCHITEC - Fat profit margins, but their revenue has declined over the last few years. Signs that this company isn't growing? They have allocated some amount of $ into R&D. Could their R&D result in new products and a new phase of growth? High dividend, but is it sustainable?

LEADER - Sales have grown over the last few years. Low margin. Company revenue primarily from cables and wires. However, as more and more people switch to wireless, I wonder if the sales will grow or decline. Low dividend.

PPB - Damn low P/E ratio. Looks very attractive. Is there any reasons why the P/E is so low?

Thanks for your insights. Hope my first buy in the stock market is a good buy.

Yeah, nothing is for certain in the stock market.....

I actually forgot that I started trading because I think it is a good time to buy stocks (still very new with all these trading stuff).... as you described "Gold in stones (in bad times)". I think that the shares will go up eventually in the long run.....hopefully.....

Hmmmm..... as my goal is long-term, I think I better grab some cheap stocks and just keep it..... you know, fire and forget....

Of course, this trading stuff is quite addictive.... wanna play play a bit too.... for these few months of bear market.... buy when low and sell when the baby bull comes....

Any suggestion of which stocks for long-term? Maybank is one of my target...... public bank... err.... some people say don't buy as the chairman might go anytime....

This post has been edited by kmarc: Nov 23 2008, 07:04 PM