Today Trading idea is an Accumulate call on AEONCR

1 December 2011

Aeon Credit Service (M) Berhad (AEONCR) provides consumer financing products. It offers products such as easy payment, personal financing and credit cards.

AEONCR made a major Wave 4 low of RM4.35 on 9 August 2011 with grossly oversold signals. Its upward price movement and a MA Golden Cross recently suggest a very firm upward trend. The positive crossovers of its CCI, DMI, MACD, Stochastic and Oscillator indicators also support its firm Wave 5 upward price action.

ACCUMULATE (TECHNICAL) on dips for AEONCR with its firm support levels at RM5.60 and RM6.28. We expect it to test our upside target areas of RM6.91 and RM8.23 soon. Stop-loss is at RM5.58.

FBM KLCI: Key Points

• AEONCR – Buy this stock on dips
• FBMKLCI – May re-test 1,493.28 again
• Obvious supports of 1,442 & 1,472
• 1,474 & 1,500 will cap the rebounds

Some trading stocks that we like are: AEONCR, AMMB,
ARMADA, CIMB, DIGI, GAB, GENP, GENTING, LATEXX,
PBBANK, SOP, SUPERMX, TAANN, TDM, TIMECOM, TSH
TWS, UEMLAND and YTLPOWR.

(Information from MBB)

Local News

01 December 2011

SP Setia: Wins bid for Singapore project. SP Setia Bhd has won the bid to develop Chestnut Avenue, a 18,700 sq m parcel of land in Singapore, for a total tender sum worth RM437.4m. The land tender would be granted a lease term of 99 years and was to be developed into condominiums or flats. (Source: The Star)

Silver Ridge: Gets new core business. Silver Ridge would work together with Huatai Financial Holdings (Hong Kong) Ltd to promote the Huatai Von Malaysia Fund, which has a fund size of USD500m (RM1.5b), MD Datuk Mohd Suhaimi Abdullah said after the signing of memorandum of understanding between Huatai and Warrants Capital Sdn Bhd to jointly develop investment and business opportunities in Malaysia (Source: The Star)

Kenanga, ECM Libra: IB sale back on? K&N Kenanga Holdings Bhd has cleared the first hurdle to acquiring ECM Libra Financial Group’s investment banking unit after receiving the go-ahead from BNM some three weeks ago. Sources said that consideration will be in cash and this will make ECM Libra a cash-rich entity, enabling it to pursue new business interest. (Source: The Edge Financial Daily)

CIMB: Plans to expand operations in Sri Lanka. CIMB Group Holdings Bhd plans to expand into stockbroking and commercial banking in Sri Lanka after opening an investment advisory office there recently. CIMB Group CEO Datuk Seri Nazir Razak said at a media briefing that CIMB will look to diversify into more capital-intensive activities as they gain momentum in Sri Lanka.(Source: Business Times, The Edge Financial Daily)

Transport: Prasarana mulls further expansion of KL monorail service. Syarikat Prasarana Negara Bhd (SPNB), which is increasing the capacity of its monorail system, plans to expand the network to cover other commercial areas within Kuala Lumpur. Yesterday, SPNB signed an agreement to award Scomi Engineering Bhd a RM494m contract to supply new and bigger trains and undertake work to upgrade RapidKL Monorail stations around the city. (Source: The Sun)

Local News

30 November 2011

YTL Power: Expects YTL Comms to turn around. YTL Power International expects its subsidiary, YTL Communications, to turn around within 2 years. YTL Comms will launch an Android smartphone together with an “easy to understand” price plan in January next year. (Source: The Edge Financial Daily)

Sumatec Resources: PSC could turn Sumatec around. Sumatec Resources has entered into a framework agreement with Markmore Energy (Labuan) Ltd (MELL) and CaspiOilGas LLP (COG) for the award of a PSC for the Shelly oil field in Kazakhstan. The proposed PSC is a 50:50 profit-sharing venture between Sumatec and COG for the 354.5-sq km Shelly oil field, in which COG has the concession until Aug 25, 2025 to explore oil. (Source: The Edge Financial Daily)

AWC: Set to build solar power farm. AWC Bhd is in the running to be the first in Malaysia to put up a solar farm. The solar farm will be capable of generating one-megawatt. It will be fed into the national grid and we'll be able to sell power according to the feed-in tariff according to group CEO cum MD Azmir Merican. (Source: Business Times)

Asia Media: Doing 'live' test broadcasts on buses. Asia Media Group Bhd, the country's largest transit-television network operator, has started testing live television broadcast on 30 buses that ply the Shah Alam and Kelana Jaya route. Asia Media intends to use the technology on all the 1,000-odd Rapid KL buses that service the city once the testing has been completed, banking on the "out-of-home service" to help sustain its earnings momentum. (Source: Business Times)