Saturday, September 20, 2008



Looking at the chart last Dec, it was still a $2.00 counter. Within the 9 months, it lost close to 80% in value. Is that something serious to be concerned about.

In TA, VALUE is not a concern. Fundamentally, it is not one counter I'll put my $ in for long term, time horizon 3 years and more. Not because it is a lousy company but I've not done any analysis fundamentally about it yet.

I'm personally vested last Friday and my opinions MIGHT be biased.

1. Not a strong cause to state when I say that there is a b/o but still it's near the gap price @ 0.67.

2. Check the trades done intra day on Friday and you have a reason to believe that there is accumulation on this counter, although there is strong selling. This is the same to GAR on Wednesday and Thursday when in 1 trade, 6m shares is done, sold down but the market absorbed it. When the selling is done and the accumulation is in process, it could mean some upward strength.

3. Not a frequent user of indicators, but MACD looks to converge and MFI looks good.

Unless I missed out something OR I am wrong in my analysis, do drop me a comment !! Thanks people.

5 comments:

Anonymous said...

Hi good blog you have here!

Whats your take on Ferro? I am stuck since buying at $1.10

JingXiong said...

Hi Powerblogger, U too... Nice blogs and entries.

I'd suggest u think thought these Questions.

1. Why did I not cut loss when it dropped beyond certain level.

2. Rising Steel Prices will that affect the profits of this company, if so how bad.

3. Why did I buy this stock?

Afterall Stock Market is really not always profitable.

As I've said in my post, there is accumulation as well as disposal. I see more upside from 0.65 then downside. Up then again, that's what I think.

Just to add, my position in Ferro is not long term due to it's nature of business.

Anonymous said...

Ya too bad i already stuck at same price at $1.10..... think reall kena big time now :-(

Anonymous said...

Now susp think its really going to stuck for a long time... thanks for your suggestion

QUALITY STOCKS UNDER FOUR DOLLARS said...

Their are now many outstanding values in chinese smallcap stocks.

 

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