Sell when the market opens. Don't let this blind enthusiam fool you. IT ain no recovery yet.

And buy when it is low?

next year bull year but market not bull enough.

tomolo should be the best day to sell off your stock and wait for dip again.

For me, personally i'll go for those cheap but strong fundamental with good financial background counter which have drop more than 70-80%.
Its current price will be close to RM1 or lessser better. Its main shareholder should have big players like EPF, Valuecap, Tabung Haji, Angkatan Tentera fund etcs for support. I also look for the stocks which have strong shares buy back from its own main shareholders.

Reason:
Lesser room to drop more compare to other expensive counters which have drop so much yet.
Easier to sell off as cheap means more unit quantity and any slight rebound can make profit
Cost of average down is cheaper since its price already low.
Have big shareholders/fund managers to hlp hold or push share price up when market recover abit.


Cheers,
v_viper88

LOL, wireless has nothing major impact on the cable site, your house electricity can be transmit using wireless?
Primary usage of cable is for electricity supply. But with economy slowdown, surely cable business also affected quite significantly as well.

PPB - all commodities producers from oil, steel, to palm oil producers are trading at single digit PE, because future earning is going to drop significant amount to the lower price of commodities, not a major supply, as at this level, its future PE might be in teen number as well.

I had seen plenty of people are interested in penny stock, because people general view it has not much less for the downside.

Just a remind, some stocks are not cheap although price is cheap.

The room for the downside for low price stock is as same as high price stock.

For a stock that is Rm10, drop to RM5 is seen severe drop (-Rm5), but a stock of Rm1.00 drop to Rm0.50 is seen as minor drop and not much (-0.50).

But in the end of the day, they are same with 50% drop. So if one invest the same amount of money (either buy 1 lot in RM 10 or 10 lot of RM1.00), still one lose the same amount of money.

THE BUSINESS TIMES
Ringgit likely to appreciate
Published: 2008/11/22

THE ringgit is likely to appreciate against the US dollar next week on speculation that Bank Negara Malaysia (BNM) will cut interest rate next week, dealers said.

BNM’s next monetary policy meeting will be held on Monday.

The central bank has kept the country’s overnight policy rate (OPR) unchanged at 3.50 per cent.

A dealer said if there is a cut in interest rate, it will spur demand for the local unit.

They said the ringgit was likely to be at 3.6 level for the week and would track the movements of regional currencies.

During the week just-ended, the ringgit was traded lower against the US dollar as the greenback was steadier in the global market.

On a week-to-week basis, the ringgit depreciated against the greenback to 3.6180/6130 compared with 3.5930/5980 last Friday.

Against the Singapore dollar, the local unit appreciated to 2.3608/3664 from 2.3696/3752 last week. It was lower against the yen at 3.7980/8053 from 3.7057/7116 previously.

The ringgit was also lower against the British pound at 5.3706/3794 from 5.3475/3563 last Friday but it increased against the euro to 4.5319/5393 from 4.5635/5709 previously. — Bernama

Well.. simple maths calculation will do to find out how much % a stock have fall. If they cant differentiate major or minor drop than too bad la.
It also depends on their capital and invesment plan. Investor also buy good stock when stock drop alot from its fair value especially in a bear market. Stock tat have drop alot from its fair value will have a better chance of higher increase from its low price once market stable down.

If have bigger capital aim for more expensive stock or cheaper stock? which one is a better investment if both stocks also good and have same % of drop? For me i'll go for cheaper stock coz using the same capital i can buy more quantity and still have extra capital to buy when its price drop.

Cheers,
v_viper88


This post has been edited by viper88: Nov 23 2008, 10:18 PM

Mind sharing the counters you're talking about? Me noob in this.....

Absolutely.

However, penny stocks changes more in terms of percentages as compared to higher priced stock. A 50 cents stock can increase 20% to 60 cents in one day. However, a RM5 stock takes more time to reach RM6...... Of course, it can go the other way too.... if it does, the way I see it is to average down, for the long term anyway..... (unless of course, the risk of the company going bankrupt.... die....)

Take KNM for example, from below 40 cents shot up to 70 cents during this difficult times.... it is unlikely that a RM4 stock can shoot up to RM7 like penny stocks do, right?

Please correct me if I'm wrong... still learning....

Edit : Oh ya, I opened a cash account rather than a margin account as I don't want to be caught with my pants down...

This post has been edited by kmarc: Nov 23 2008, 10:44 PM

very well said. Of course, up also got down. High risk, high return

There are some blue chips that you could buy at rm 5 and stay at rm 5 for a long long time.

The good thing is you do not have to monitor, only once a a while check when they are going to pay out the dividends.

And you do not need to come to this forum on daily basis , bcos it ie deemed to be safe.

The risk level is less also.

These the the pros of buying blue chips, esp good for the beginners. If you make a mistake, the share price still stays there for you. It is peace of mind.

Sometimes a penny stock could lose 10sen a day, whereas losing only 5sen for some blue chips.

Beside that you need to do more home works, perhaps coming to this forum to find out more.

The efforts and time that you put in be might not be compensated. You could be penalised too.

So be careful, even F1/GP drivers or riders could fall sometimes. It is not that simple as you may think.

Just my 2sen opinion.

This post has been edited by SKY 1809: Nov 23 2008, 11:54 PM

Wa.. sure onot? In bearish market.. most blue chips also drop kaw kaw...due to fear sentiments.
- Public Bank 13/5/08 at RM 12.00 .. now how much? RM 7.85.
- IOICORP 15/1/08 at RM 8.06 now RM2.94, lowest ? RM 2.08
- Resort 11/1/08 at RM 4.26 now RM 2.58, lowest RM 2.16

There are more other blue chip counters tat drop close or more than 50% already.
Those beginners who bought blue chips counter at early/mid of this year also get hit badly....

My remiser told me during bear market all stock will get hit, bluechip or penny stocks alll get beaten down.
Those stocks that rise too high over its fair value will get hit harder. Those stock tat close to its fair value
will drop lesser.

Cheers,
v_viper88

It's actually very simple. If you want low risks, buy blue chips like the ones you've mentioned. If you can stomach higher risks but with the possibility of far higher returns, go for penny stocks like KNM and Zelan.

The economy will eventually pick up one day. Just buy the stocks and keep it for 3 to 5 years.

Yeap.. tats what i says..stock that drop alot away from its fair value will have a better chance to shoot up higher n faster.
I've already stated earlier some of my stocks in my watching list waiting to grab when its price drop. I think its in V17..

YTLPowr-WB
LIONIND
MPHB
Zelan

This one abit expensive...need to drop more
IOICORP -
RESORT -

Cash acct to invest is good.

Cheers,
v_viper88

GDP, Jobless claims, Chicago PMI, Durable goods, Existing Home sales......do these data make you shiver in fear?

Sell on the rally, buy on dips.

---

Added on November 24, 2008, 2:22 amQuoted from Citigroup Message Board @ yahoo

Somali Pirates in Discussions to Acquire Citigroup 21-Nov-08 01:30 pm Somali Pirates in Discussions to Acquire Citigroup


November 23 (Bloomberg) -- The Somali pirates, renegade Somalis known for hijacking ships for ransom in the Gulf of Aden, are negotiating a purchase of Citigroup.

The pirates would buy Citigroup with new debt and their existing cash stockpiles, earned most recently from hijacking numerous ships, including most recently a $200 million Saudi Arabian oil tanker. The Somali pirates are offering up to $0.10 per share for Citigroup, pirate spokesman Sugule Ali said earlier today. The negotiations have entered the final stage, Ali said.

"You may not like our price, but we are not in the business of paying for things. Be happy we are in the mood to
offer the shareholders anything," said Ali.

The pirates will finance part of the purchase by selling new Pirate Ransom Backed Securities. The PRBS's are backed by the cash flows from future ransom payments from hijackings in the Gulf of Aden. Moody's and S&P have already issued their top investment grade ratings for the PRBS's.

Head pirate, Ubu Kalid Shandu, said: "We need a bank so that we have a place to keep all of our ransom money. Thankfully, the dislocations in the capital markets has allowed us to purchase Citigroup
at an attractive valuation and to take advantage of TARP capital to grow the business even faster."

Shandu added, "We don't call ourselves pirates. We are coastguards and this will just allow us to guard our coasts better."

*CITI IN TALKS WITH SOMALI PIRATES FOR POSSIBLE CAPITAL INFUSION

*WILL REQUIRE ALL CITI EMPLOYEES TO WEAR PATCH OVER ONE EYE

*SOMALIAN PIRATES APPLY TO BECOME BANK TO ACCESS TARP

*PAULSON: TARP PIRATE EQUITY IS AN `INVESTMENT,' WILL PAY OFF

*KASHKARI SAYS `SOMALI PIRATES ARE 'FUNDAMENTALLY SOUND' '

*Moody's upgrade Somali Pirates to AAA

*HUD SAYS SOMALI DHOW FORECLOSURE PROGRAM HAD `VERY LOW' PARTICPATION

*SOMALI PIRATES IN DISCUSSION TO ACQUIRE CITIBANK

*FED OFFICIALS: AGGRESSIVE EASING WOULD CUT SOMALI PIRATE RISK

* FED AGREED OCT. 29 TO TAKE `WHATEVER STEPS' NEEDED FOR SOMALI PIRATES

This post has been edited by AdamG1981: Nov 24 2008, 02:22 AM

Thx for sharing. I have decided to buy Zelan this week when everybody else is panic selling..... Might be a wrong move now but I just think their stock is just too cheap to ignore........

Pirates saving their bullets to buy shares.... They will get real bullets (+ bombs + missiles + torpedos + cannons + whatever-ammunition-that-can-be-thrown-on-them) before they get the shares......

That's a good one - employees to wear eye patch!

This post has been edited by kmarc: Nov 24 2008, 08:07 AM

Not all bluechips....There are some :

Eg.

BAT
AMWAY
JTINTER
NESTLE

you guys who bought zelan may be excited today.
MMC make take Zelan private or inject MMC into Zelan

Where's the news from? link pls?