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Bursa Malaysia Daily Market Report - 22 March

Mohd Noordin
By Mohd Noordin
4 years ago
Bursa Malaysia Daily Market Report - 22 March

Ard, Islam, Mal, Daya, Participation, Rub, Sales


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  1. Wednesday , 22 March, 2017 For Internal Circulation Only TA RESEARCH’S ‘DAILY COMPILED REPORTS’ News 1. Daily Market Commentary 2. Daily Brief Fundamental Reports 1. Automotive Sector: YoY Improvement in TIV Technical Reports 1. Daily Technical Stock Picks 2. Daily Stock Screen 3. Foreign Technical Stock Watch (AUS, HK & FSSTI) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research
  2. Daily Note Daily Market Commentary (A Participating Organisation of Bursa Malaysia Securities Bhd) Menara TA One, 22 Jalan P Ramlee, 50250 Kuala Lumpur Tel : 603 - 2072 1277. Fax : 603 - 2032 5048 Wednesday, 22 March 2017 TA Research e-mail : taresearch@ta.com.my For Internal Circulation Only KLSE Market Statistics (21.03.2017) (mil) Main Market 3,107.5 Warrants 296.7 ACE Market 1,081.6 Bond 92.6 ETF 0.1 Total 4,578.4 Off Market 87.0 Volume +/-chg (RMmn) -402.7 3,079.9 -95.6 33.4 -945.4 161.3 4.7 12.0 0.04 0.1 3,286.6 -28.3 305.2 Value +/-chg 347.2 -10.3 -66.3 0.8 0.05 173.0 Major Indices Index +/- chg Malaysia FBMKLCI FBMEMAS FBMSCAP March Futures Other Markets DOW JONES NASDAQ (US) FTSE (UK) NIKKEI (JAPAN) KOSPI (KOREA) HANG SENG (HK) FSSTI (S'PORE) SET (BANGKOK) JCI (JAKARTA) SHANGHAI SHENZHEN AUSTRALIA Up Down 350 341 89 79 51 50 5 6 1 1 496 477 % chg % YTD chg 1,754.67 12,406.35 16,955.76 1,763.00 5.26 37.61 84.34 11.00 0.30 0.30 0.50 0.63 6.88 8.20 15.22 7.80 20,668.01 5,793.83 7,378.34 19,455.88 2,178.38 24,593.12 3,158.57 1,568.78 5,543.09 3,261.61 2,043.94 5,774.62 -237.85 -107.70 -51.47 -65.71 21.37 91.13 -7.13 5.24 9.10 10.80 7.89 -4.29 -1.14 -1.83 -0.69 -0.34 0.99 0.37 -0.23 0.34 0.16 0.33 0.39 -0.07 4.58 7.63 3.30 1.79 7.50 11.78 9.64 1.67 4.65 5.09 3.80 1.92 Top 10 KLCI Movers Based on Mkt Cap. Off Market (mn) MAYBANK 26.5 CONNECT 11.9 GBGAQRS 9.0 TIGER 8.3 LAYHONG 7.0 BJTOTOT 4.7 BIMB 4.5 DANCO 3.8 HALEX 3.2 T7GLOBAL 2.0 FPGROUP 1.7 TSRCAP 1.5 IRETEX 1.0 Value/ Volume 0.99 0.11 0.15 0.13 1.24 0.72 3.51 @ @ @ @ @ @ @ @ @ @ @ @ @ (RM) 8.99 0.26 1.27 0.04 0.90 2.85 4.43 1.43 0.64 0.50 0.65 0.54 0.22 Exchange Rate USD/MYR 4.4247 -0.0004 USD/JPY 112.55 -0.2100 EUR/USD 1.080 0.0041 Counter Mkt Cap. (RM’mn) MAYBANK 91,740 TENAGA 77,889 PCHEM 60,640 MAXIS 47,916 DIGI 39,886 PETGAS 39,495 MISC 33,211 GENM 32,197 IOICORP 29,553 KLK 26,432 Chg (RM) 0.10 0.06 0.13 0.02 0.01 0.08 0.02 0.14 0.02 0.02 Vol. (mn) 20.29 7.25 11.56 4.59 8.33 1.82 1.73 11.26 5.46 2.41 Commodities Futures Palm Oil (RM/mt) 2,811.00 33.00 Crude Oil ($/Barrel) 47.50 -0.67 Gold ($/tr.oz.) 1,244.60 10.60 Review & Outlook Stocks closed higher Tuesday helped by the stronger ringgit and higher oil prices, due to the weaker USD caused by the less hawkish tone from the US central bank on hiking interest rates, which encouraged gains on oil & gas related counters. The KLCI added 5.26 points to end at 1,754.67, off the high of 1,757.99 and low of 1,748.82, as gainers edged losers 496 to 477 on less robust turnover totaling 4.58bn shares worth RM3.28bn. While the overnight US market correction should spillover to encourage an overdue profit-taking dip in blue chips, active rotational plays on small caps and lower liners should dominate to encourage greater retail participation. Immediate uptrend supports for the index are at 1,730 and 1,714, representing the rising 10 and 30-day moving averages. Looking ahead, a convincing breach above 1,758, the 23.6%FR of the 1,310 to 1,896 upswing and matching yesterday's high, should aim for 1,782, the 76.4%FR of the 1,867 to 1,503 correction, followed by 1,800 and the 18/ 5/15 high of 1,823. Positive technical momentum supports further upside bias on Dialog towards the 76.4%FR (RM1.78), RM1.88 and the 8/7/14 high (RM1.96) ahead, while key chart supports are from the mid Bollinger band (RM1.66) and 50%FR (RM1.58). Wah Seong shares need convincing breakout above the 61.8%FR (95sen) to enhance upside momentum to the 50%FR (RM1.04) and 38.2%FR (RM1.14) going forward, while key retracement support is at the 76.4%FR (83sen). • • • • • • • • • • • • • • Important Dates IOIPG - 1:4 Rights Issue - RI of up to 1,109.9m shares. 1 rights share for every 4 existing shares held, at an issue price of RM1.38 per rights share. Application Closed: 17/03/2017. LISTING ON: 31/03/2017. • News Bites The Malaysian government sought parliamentary approval to increase its expenditure under the 2016 budget, saying it had spent some RM3.08bn more than planned. UMW Holdings Bhd's property unit and the Malaysian Investment Development Authority plan to team up to develop a 348.3-hectare land in Serendah, Selangor, into a high-value manufacturing park focused on aerospace and smart manufacturing. Yong Tai Bhd had clinched two pieces of land in Malacca totalling 4.9ha by buying 100% equity interest in Laila Development Sdn Bhd, the landowner, for RM35mil, which is expected to lead to the development of two separate property projects with a combined GDV of RM2.3bn. Tenaga Nasional Bhd rose 15 spots to rank 24th in Brand Finance's Global Top 50 utility brands in 2017, which represented a significant 33% jump to US$1.6bn for the national utility corporation's brand value. Ranhill Holdings Bhd has been instructed to commence work on a 30 MLD water treatment plant, intake plant and pipeline despite the lack of approvals from relevant authorities. SILK Holdings Bhd is allocating RM200mn from its proposed disposal of Sistem Lingkaran-Lebuhraya Kajang Sdn Bhd to Permodalan Nasional Bhd to strengthen its marine logistics business. Cagamas Bhd, the National Mortgage Corporation of Malaysia, announced the issuance of its three-month Islamic Commercial Papers amounting to RM500mn. Alam Maritim Resources Bhd has landed a RM99mn contract to provide subsea inspection, maintenance and repair services to an independent oil and gas exploration and production company. DRB-Hicom Bhd's unit, Composites Technology Research Malaysia Sdn Bhd, is investing RM93.4mn for a new building at its manufacturing facility in Melaka. Felda Global Ventures Holdings Bhd is in talks for a strategic, longterm shareholder to buy into the company. The details and terms are still being ironed out, but the deal is slated for completion by year end. Telekom Malaysia Bhd has appointed Datuk Seri Mohammed Shazalli Ramly as its new managing director and group CEO with effect from May 1. Mulpha International Bhd has announced a 10-into-one share consolidation plan to improve its capital structure and reduce the trading volatility of its shares. LPI Capital Bhd, a general insurance company, expects to perform better in 2017, targeting over 5% growth for its gross premium income. Group managing director Darmendran a/l Kunaretnam's plan to take over canned food and drink manufacturer Rex Industry Bhd has fallen through as his RM1.65-per-share offer attracted only 5,525 shares, or 0.01% of the issued share capital. China faces mounting financial risk even as an innovation drive aimed at rebalancing the economy away from low-value manufacturing falls short, according to a report by the Organization for Economic Cooperation and Development. DISCLAIMER The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD Kaladher Govindan, Head of Research
  3. TA Securities Wednesday , March 22, 2017 FBMKLCI: 1,754.67 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Daily Brief Market View, News In Brief: Corporate, Economy, and Share Buybacks THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TA Research Team Coverage Market View Tel: +603-2072 1277 taresearch@ta.com.my www.taonline.com.my Rotational Play on Small Caps to Dominate Stocks closed higher Tuesday helped by the stronger ringgit and higher oil prices, due to the weaker USD caused by the less hawkish tone from the US central bank on hiking interest rates, which encouraged gains on oil & gas related counters. The KLCI added 5.26 points to end at 1,754.67, off the high of 1,757.99 and low of 1,748.82, as gainers edged losers 496 to 477 on less robust turnover totaling 4.58bn shares worth RM3.28bn. Uptrend Supports at 1,730, Then 1,714 While the overnight US market correction should spillover to encourage an overdue profittaking dip in blue chips, active rotational plays on small caps and lower liners should dominate to encourage greater retail participation. Immediate uptrend supports for the index are at 1,730 and 1,714, representing the rising 10 and 30-day moving averages. Looking ahead, a convincing breach above 1,758, the 23.6%FR of the 1,310 to 1,896 upswing and matching yesterday’s high, should aim for 1,782, the 76.4%FR of the 1,867 to 1,503 correction, followed by 1,800 and the 18/5/15 high of 1,823. Buy Dips on Dialog & Wah Seong Positive technical momentum supports further upside bias on Dialog towards the 76.4%FR (RM1.78), RM1.88 and the 8/7/14 high (RM1.96) ahead, while key chart supports are from the mid Bollinger band (RM1.66) and 50%FR (RM1.58). Wah Seong shares need convincing breakout above the 61.8%FR (95sen) to enhance upside momentum to the 50%FR (RM1.04) and 38.2%FR (RM1.14) going forward, while key retracement support is at the 76.4%FR (83sen). Asian Stocks End Mixed Asian equities finished mixed on Tuesday, after the Reserve Bank of Australia released its March meeting minutes and the dollar remained soft. The ASX 200 slipped 0.07 percent or 4.3 points to close at 5,774.6, dragged by its materials sub-index, which was down 0.58 percent. The RBA's March meeting minutes revealed that the central bank saw growing risks in the overheating housing market. The Japanese benchmark closed down 0.34 percent or 65.7 points at 19,455.88. Toshiba's U.S. Westing house Electric is taking offers for a financing package to help it go through U.S. bankruptcy, Reuters reported. Shares of Toshiba climbed 3.21 percent. In South Korea, the Kospi jumped 0.99 percent or 21.4 points to 2,178.38. Chinese shares closed up positive. The Shanghai composite added 0.35 percent or 11.4 points at 3,262.2 and Shenzhen composite finished up 0.39 percent or 7.89 points at 2,043.94. During Asian trade, Brent crude was up 0.48 percent to USD51.87 a barrel, while U.S. crude added 0.29 percent to USD48.36. US Key Indices Post First 1% Fall in 5 Months as Banks Tumble U.S. equities posted their worst day of the year Tuesday as banks faced pressure from falling yields, while investors turned their eyes to a key House vote. The Dow Jones industrial Page 1 of 8
  4. TA Securities 22-Mar-17 A Member of the TA Group average fell around 240 points , with Goldman Sachs contributing the lion's share of the losses. The S&P 500 dropped 1.2 percent, with financials falling more than 2.5 percent to lead decliners. The indexes were also posted their first decline of at least 1 percent since October. The Nasdaq composite reached a fresh all-time high before closing 1.8 percent lower. Shares of Apple hit an all-time high after the firm announced a new version of its 9.7inch iPad and special editions for the iPhone 7 and iPhone 7 Plus. The small-cap Russell 2000 underperformed, falling around 2 percent. West Texas Intermediate futures erased gains to settle 1.82 percent lower at USD47.34 per barrel. Oil has been under pressure recently as oversupply concerns pushed prices below USD50, a key technical level. Energy is the worst-performing sector this year, falling around 8 percent. On the data front, fourth-quarter current account figures showed the deficit fell, hitting its lowest level in more than a year, as an increase in the primary income surplus offset a soybean-driven drop in exports. The Dow Jones industrial average fell 237.85 points, or 1.14 percent, to close at 20,668.01, with Caterpillar leading decliners and Coca-Cola outperforming. The S&P 500 declined 29.45 points, or 1.24 percent, to end at 2,344.02, with financials leading 10 sectors lower and utilities the only advancer. The Nasdaq composite tumbled 107.70 points, or 1.83 percent, to close at 5,832.53. Page 2 of 8
  5. TA Securities 22-Mar-17 A Member of the TA Group News In Brief Corporate UMW Holdings Bhd 's property unit UMW Land Sdn Bhd and the Malaysian Investment Development Authority (MIDA) plan to team up to develop a 348.3-hectare land in Serendah, Selangor, into a high-value manufacturing park focused on aerospace and smart manufacturing. The entities signed a memorandum of understanding (MoU) to explore areas of collaboration and cooperation on the industrial development on UMW Land's site, said UMW Land's owner UMW Corp Sdn Bhd. (The Edge) Yong Tai Bhd inked agreements that are expected to lead to the development of two separate property projects in Malacca with a combined gross development value (GDV) of RM2.3bn. The company, known for its planned RM5.4bn Impression City integrated resort development in Malacca, told Bursa Malaysia that it had clinched two pieces of land in the state totalling 4.9ha by buying 100% equity interest in Laila Development Sdn Bhd (LDSB), the landowner, for RM35mil. (StarBiz) Tenaga Nasional Bhd (TNB) rose 15 spots to rank 24th in Brand Finance's Global Top 50 utility brands in 2017, or Utilities 50 (2017). TNB said, this represented a significant 33% jump for the national utility corporation's brand value of US$1.6bn (US$1 = RM4.42) from US$1.2bn in 2016. (Bernama) Ranhill Holdings Bhd has been instructed to commence work on a 30 MLD water treatment plant, intake plant and pipeline despite the lack of approvals from relevant authorities. In a filing with Bursa Malaysia, Ranhill said its wholly owned subsidiary Ranhill Water Technologies Sdn Bhd (RWT) had received a letter from Messrs Sharif & Khoo, representing WRP Asia Pacific Sdn Bhd on Monday. The letter requires RWT to commence work within 14 days from its receipt of the said letter, failing which WRP will commence action to claim for damages and loss. (SunBiz, Bursa) SILK Holdings Bhd is allocating RM200mn from its proposed disposal of Sistem LingkaranLebuhraya Kajang Sdn Bhd to Permodalan Nasional Bhd (PNB) to strengthen its marine logistics business. Executive Chairman, Datuk Mohammed Azlan Hashim, said the group was also looking out for opportunities in the oil and gas business via its units, Jasa Merin (M) Sdn Bhd and Jasa Merin (Labuan) plc. (Bernama) Cagamas Bhd, the National Mortgage Corporation of Malaysia, announced the issuance of its three-month Islamic Commercial Papers (ICP) amounting to RM500mn. The ICP will be issued under the Islamic Commodity Murabahah structure and proceeds from the issuance will be used to fund the purchase of Islamic financing from the financial system. (SunBiz) Alam Maritim Resources Bhd has landed a RM99mn contract to provide subsea inspection, maintenance and repair services to an independent oil and gas exploration and production company. The company, which provides offshore support vessels and offshore construction services, told Bursa Malaysia that the contract given to its unit Alam Maritim (M) Sdn Bhd was for the primary period of two years with an extension option of one year. (StarBiz) DRB-Hicom Bhd's unit, Composites Technology Research Malaysia Sdn Bhd (CTRM), is investing RM93.4mn for a new building at its manufacturing facility in Melaka. Group Chief Operating Officer, Shamsuddin Mohamed Yusof, said CTRM had begun work on the new building -- dubbed the 'B6' -- as part of its plan to meet future demand for parts produced for Airbus, the European aircraft maker. (Bernama, StarBiz) Public Bank Bhd has launched PB Quantum Visa and PB Quantum MasterCard Credit Cards, as part of its initiative to offer cards that cater to the lifestyle of younger generation. Public Bank Managing Director, Tan Sri Datuk Seri Tay Ah Lek, said these credit cards were Page 3 of 8
  6. TA Securities 22-Mar-17 A Member of the TA Group also well-suited for customers with fast-paced lifestyle with preference for online shopping , dining and entertainment. (Bernama) Felda Global Ventures Holdings Bhd (FGV) is in talks for a strategic, long-term shareholder to buy into the company. The details and terms are still being ironed out, but the deal is slated for completion by year end. “We are talking to various parties, internal and external,” FGV CEO and president Datuk Zakaria Arshad tells The Edge on the sidelines of the Palm and Lauric Oils Price Outlook Conference & Exhibition last week. (The Edge) The partnership between Proton Holdings Bhd and a potential foreign strategic partner (FSP), which is expected to be announced by the first half of 2017, should be a win-win decision, a government legislator said in the Dewan Rakyat today. Datuk Noor Ehsanuddin Mohd Harun Narrashid (BN-Kota Tinggi) said this after opposition lawmaker Wong Chen (PKR-Kelana Jaya) brought up the issue of China’s Zheijiang Geely Holding Group’s decision to abandon its bid to buy a stake in Proton. According to several news reports early this month, Geely’s co-chairman Li Shufu made the call to pull out of the deal because Proton had been constantly changing its plans. (The Edge Daily) T7 Global Bhd's wholly-owned unit, T7 Aero Sdn Bhd, has signed a head of agreement (HOA) with MARA Aerospace & Technologies Sdn Bhd (M-AeroTech). T7 Global said, under the HOA both parties would work together on human capital development for metal treatments and other high-value manufacturing activities in aerospace and other hightechnology industries. Malaysia's aerospace industry is expected to grow by 7% this year on robust demand for aircraft from Asian countries, especially China and India. Minister of International Trade and Industry, Datuk Seri Mustapa Mohamed, said aerospace manufacturing, a major part of the industry in Malaysia, was expected to contribute 55% to the industry's overall value this year. (Bernama) Axiata Group Berhad has appointed former Securities Commision Malaysia (SC) deputy chief executive Datuk Nik Ramlah Nik Mahmood as its independent non-executive director. “Datuk Dr Nik Ramlah's appointment reflects the board’s focus and commitment towards strengthening its composition with the right skills, experience, diversity and independence,” said Axiata in a statement. (The Edge) Telekom Malaysia Bhd (TM) has appointed Datuk Seri Mohammed Shazalli Ramly as its new managing director and group chief executive officer (CEO) with effect from May 1. The telecommunications company said the appointment followed the retirement of Tan Sri Zamzamzairani Mohd Isa, 56, as group CEO with effect from April 30. Shazalli, 55, is currently the regional CEO for Axiata Group Bhd’s South-East Asia operations. Prior to that, he was the CEO and director of Celcom Axiata Bhd from Sept 1, 2005, until Aug 31, 2016. (StarBiz) Mulpha International Bhd has announced a 10-into-one share consolidation plan to improve its capital structure and reduce the trading volatility of its shares. The share consolidation plan will be done on the basis of 10 existing shares for one consolidated share, which will see its share capital reduced to 319.6mn from 3.196bn currently. In the past three years, Mulpha shares have been traded in wide-ranging prices from 19.5 sen to 55 sen (64.5% change in transacted price from its lowest to highest) Mulpha expects the share consolidation to exercise to be completed by the second quarter of 2017. (The Edge Daily) LPI Capital Bhd, a general insurance company, expects to perform better in 2017, targeting over 5% growth for its gross premium income. Chief executive officer, Tan Kok Guan, said the general insurance industry grew by about 1.1% last year. Lonpac Insurance Bhd, a unit of LPI Capital, recorded a higher growth at 2.2% last year. (StarBiz) Page 4 of 8
  7. TA Securities 22-Mar-17 A Member of the TA Group Group managing director Darmendran a /l Kunaretnam’s plan to take over canned food and drink manufacturer Rex Industry Bhd has fallen through as his RM1.65-per-share offer attracted only 5,525 shares, or 0.01% of the issued share capital. The condition to be met for the conditional takeover was that the offeror Daiman Taipan must end up with valid acceptances resulting in it and its PACs holding more than 50% of Rex’s issued share capital, failing which the offer would lapse and all acceptances returned to the shareholders who accepted the offer. (StarBiz) Analabs Resources Bhd's net profit for the third quarter ended Jan 31, 2017 fell 46.5% to RM2.1mn from RM4.0mn a year ago mainly due to loss generated from the contract work, pipe-laying and rehabilitation segment. Revenue increased 6.6% to RM37.4mn from RM35.1mn in the corresponding quarter of the preceding year. (SunBiz) Page 5 of 8
  8. TA Securities 22-Mar-17 A Member of the TA Group News In Brief Economy Asia Malaysian Government Asks Parliament to Approve Extra Spending of US $696mil The Malaysian government sought parliamentary approval to increase its expenditure under the 2016 budget, saying it had spent some RM3.08bil (US$695.73mil) more than planned. The government tabled a supplementary bill in parliament, saying RM2.25bil of the additional spending was a contribution to statutory funds. The ministries of education, foreign affairs, health, transport and women, family and community development also spent more than initially planned. The election commission spent an additional RM62.8mil last year, according to the spending bill. In a modified 2016 budget announced last January, Malaysia said it would cut spending by RM9bil ringgit because of lower oil prices. It estimated spending of RM260.8bil ringgit in its 2017 budget, an increase of 3.4% from the modified 2016 budget. (The Star) China Sits on Financial House of Cards, OECD Finds China faces mounting financial risk even as an innovation drive aimed at rebalancing the economy away from low-value manufacturing falls short, according to a report by the Organization for Economic Cooperation and Development. Among the financial risks China should address “urgently” include excess production capacity in heavy industry and frothy prices in property and other asset markets that add to the risk of “disorderly default,” according to the “OECD Economic Surveys: China 2017” report. The Paris-based research body forecast growth in China of 6.5% this year and 6.3% in 2018. China faces a delicate balancing act this year as it tries to prop up growth in an important political year—top leaders will be named at a Party Congress this fall—while avoiding a potential financial crisis after years of stimulus and rapidly mounting debt. China may need more than three years to work down excess housing inventory in small cities, according to the report, which looks at how the world’s second-largest economy can foster more resilient growth. Housing prices rose 22.7% in the first two months of 2017 from a year earlier compared to a 16.8% increase in December, according to official data. This comes despite recent efforts by Beijing to dampen speculation in top markets. (The Wall Street Journal) RBA Minutes: Gradual Increase Tipped for Inflation Members of the Reserve Bank of Australia's monetary policy board expect to see consumer prices continue to rise, although at a gradual pace, minutes from the bank's March 7 meeting revealed. At the meeting, the central bank held its benchmark lending rate steady at 1.50% as expected, after reducing the rate by 25-basis points each in August and May. The board judged that holding the stance of policy unchanged at this meeting would be consistent with sustainable growth in the economy and achieving the inflation target over time. The members noted that the Australian economy is continuing to move away from a focus on mining investment, in spite of a mild rebound in commodity prices, the minutes showed. Terms of trade have also increased in recent months. The economic outlook continues to be underpinned by the lower interest rates. (RTT News) Australia House Prices Jump 4.1% in Q4 House prices in Australia advanced 4.1% in the fourth quarter of 2016 that beat forecasts for a gain of 2.5% following the 1.5% increase in the third quarter. On a yearly basis, prices spiked 7.7% - again beating estimates for 6.3% and up from 3.5% in the three months prior. Melbourne saw the largest through the year at 10.8%, followed by Sydney at 10.3%. Attached dwellings prices fell in Perth (1.7%), Brisbane (1.3%) and Darwin (2.5%), while prices rose in all other capital cities. The total value of Australia's 9.8 million residential dwellings increased A$274.2 billion to A$6.4 trillion. (RTT News) U.K. U.K. Inflation Gains More Than Forecast, Breaching BOE Goal U.K. inflation accelerated more than economists forecast in February, breaking through the Bank of England’s target for the first time in more than three years. The 2.3% increase in the consumer prices index was the fastest since September 2013 and above the median prediction for 2.1%. The rate is up from just 0.3% a year ago, reflecting sterling’s 17% drop Page 6 of 8
  9. TA Securities 22-Mar-17 A Member of the TA Group since the Brexit vote in June , as well as an increase in oil prices. Gilt futures fell and the pound rose after the data were released. Core inflation rose to 2%, the fastest since mid2014, the Office for National Statistics said. The February report also marks the end of almost three years of food-price deflation, with prices rising an annual 0.3%. The last such increase was in April 2014. Input costs at factories jumped an annual 19.1% in February, while producer prices rose 3.7%, the most in five years. As those increases filters through the economy, the BOE expects consumer-price inflation to push close to 3% by the end of the year. The latest data also marks the month the ONS starts using CPIH -- which includes owner-occupier housing costs -- as its preferred inflation gauge, though the BOE is keeping CPI as its target measure. CPIH rose 2.3% in February compared with a year earlier. (Bloomberg) Public Sector Borrowing Lowest Since 2007 Public sector borrowing excluding banks in February declined to its lowest level for the month since 2007 and came in below economists' expectations, figures from the Office for National Statistics showed. Net borrowing excluding public sector banks dropped by GBP 2.8 billion year-on-year to GBP 1.8 billion, which was lowest for February since 2007. Economists had forecast GBP 3.2 billion borrowing. In the current financial year-to-date, public sector net borrowing excluding banks decreased by GBP 19.9 billion to GBP 47.8 billion. The figure was the lowest year-to-date borrowing since the financial year-to-date ending February 2008. The Office for Budget Responsibility has forecast GBP 51.7 billion borrowing for the financial year ending March 2017. The ONS noted that the latest report included for the first time the GBP 497.25 million deferred prosecution agreement payment from Rolls-Royce PLC after a probe into bribery and corruption. (RTT News) Carney Says BOE Has Learned Lessons From Hogg's Error The Bank of England has learned the lessons from the sudden resignation of Deputy Governor Charlotte Hogg after she failed to disclose a potential conflict of interest, Governor Mark Carney said. “For those who have questioned whether we ‘get it,’ we do,” Carney said at a panel on banking ethics in London on Tuesday. “We were clear upfront that there must be consequences for both her and the bank.” Hogg resigned this month after only a few weeks on the job after her testimony to lawmakers revealed that she had not told the U.K. central bank that her brother works for Barclays Plc, which the BOE is partly responsible for regulating. Carney’s remarks also made clear that the bank didn’t ask for her resignation; that was her decision after Parliament’s Treasury Committee said she didn’t meet the highest standards. (Bloomberg) Export Orders Highest Since Late 2013: CBI British manufacturers said their export order books rose to the highest level since late 2013 and expectations for growth reached a more than two-decade high, the Industrial Trends survey from the Confederation of British Industry showed. The export order books balance rose to 10%, the highest since December 2013 and the total order books balance came in at 8%, above the expected level of 5%. A balance of 23% reported a rise in output volumes, the highest since July 2014. Manufacturers anticipate that output growth to accelerate further over the near-term. (RTT News) Page 7 of 8
  10. TA Securities 22-Mar-17 A Member of the TA Group Share Buy-Back : 21 Mar 2017 Company ANNJOO BKAWAN FIAMMA HOKHENG SIGN SNTORIA TEXCHEM WTHORSE Bought Back Price (RM) Hi/Lo (RM) 224,300 6,800 300,000 15,000 120,000 25,000 1,000 40,000 2.55/2.49 19.46/19.42 0.59 0.37 0.905/0.895 0.725/0.72 1.46 2.00 2.55/2.49 19.54/19.42 0.595/0.37 0.37 0.905/0.89 0.725/0.715 1.47/1.45 2.00/1.97 Total Treasury Shares 22,467,200 31,848,031 14,298,000 39,000 10,370,200 681,000 2,529,200 10,958,300 Source: Bursa Malaysia Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 8 of 8
  11. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company AUTOMOBILE BAUTO MBMR UMW Share Price (RM) 20-Mar-17 2.06 2.40 6.10 Target Price BETA (RM) EPS (sen) PER (X) FY17 FY18 FY17 FY18 Div Yield (%) 52weeks 52weeks FY17 FY18 High Price % Chg Low Price % Chg % Chg YTD 2.36 2.04 5.12 0.98 0.56 1.22 10.8 22.7 17.7 15.8 23.8 27.6 19.1 10.6 34.5 13.1 10.1 22.1 5.8 3.8 1.8 7.6 3.8 3.0 2.44 2.70 7.04 -15.6 -11.1 -13.4 1.95 1.95 4.43 5.6 23.1 37.7 -3.3 12.1 33.5 3.90 3.20 5.00 5.60 14.90 8.60 20.90 4.40 8.50 1.25 0.93 1.26 1.32 0.66 0.93 0.80 1.26 0.70 35.8 29.4 46.4 50.6 101.3 73.7 136.6 49.0 36.4 37.7 33.1 50.6 55.6 109.8 82.8 140.4 51.7 38.2 11.5 9.8 10.6 11.2 13.6 12.2 14.7 10.8 27.1 10.9 8.7 9.7 10.2 12.5 10.9 14.3 10.2 25.8 3.6 2.8 3.3 3.6 3.0 5.6 2.8 2.3 3.4 3.6 2.8 3.7 3.9 3.0 5.6 2.9 2.3 3.4 4.37 2.92 5.03 5.83 13.80 9.20 20.28 5.39 9.87 -5.7 -1.0 -2.6 -3.1 -0.4 -2.2 -1.0 -1.9 0.0 3.60 2.08 3.90 4.11 12.70 7.50 18.48 4.42 8.20 14.4 38.9 25.6 37.4 8.2 20.0 8.7 19.6 20.4 10.8 20.9 13.7 25.3 1.8 9.8 1.8 12.3 11.5 0.46 1.27 5.12 3.48 0.65 1.75 1.86 5.91 0.49 1.45 5.62 3.27 0.58 1.90 1.50 5.58 0.79 0.71 1.03 1.07 1.14 na 1.04 0.14 6.0 12.9 32.9 16.8 9.6 12.6 12.8 44.4 6.0 13.2 36.7 20.9 9.9 12.5 12.7 45.8 7.7 9.8 15.5 20.7 6.7 13.8 14.5 13.3 7.7 9.6 13.9 16.6 6.5 13.9 14.6 12.9 0.0 2.2 2.3 2.7 1.6 3.1 1.6 4.2 2.2 2.2 2.3 2.7 1.6 3.1 1.6 4.2 0.51 1.35 5.20 3.61 0.77 1.81 1.98 6.06 -9.8 -6.1 -1.5 -3.5 -16.2 -3.3 -6.1 -2.5 0.36 0.76 4.59 3.07 0.41 1.42 1.41 5.02 27.8 68.0 11.5 13.4 59.3 23.2 31.9 17.7 5.7 21.0 7.1 8.7 12.2 2.9 7.5 0.5 2.00 2.00 0.47 15.4 15.6 13.0 12.8 5.0 5.0 2.40 -16.7 1.93 3.6 -0.5 14.64 17.86 15.41 21.08 0.58 0.58 69.6 93.1 77.5 21.0 101.9 19.2 18.9 17.5 4.7 4.7 5.3 5.1 15.20 18.74 -3.7 -4.7 12.38 13.60 18.3 31.3 5.2 9.0 2.40 7.60 24.30 80.60 2.90 1.96 4.55 0.90 2.23 9.59 26.14 83.60 4.00 2.08 4.17 1.10 0.46 0.33 0.34 0.39 0.47 0.68 0.49 0.58 6.5 35.9 97.9 291.3 23.5 22.9 12.7 9.6 7.5 40.5 119.6 318.0 26.5 22.9 15.8 13.2 36.9 21.2 24.8 27.7 12.3 8.6 35.9 9.4 31.8 18.8 20.3 25.3 10.9 8.6 28.9 6.8 0.8 3.9 2.6 3.5 5.2 4.1 1.0 5.6 0.9 5.0 3.1 3.7 6.2 4.1 1.1 5.6 3.00 9.58 27.00 81.80 3.08 1.99 4.70 1.07 -20.0 -20.7 -10.0 -1.5 -5.8 -1.5 -3.2 -15.7 2.11 7.31 19.66 73.84 1.92 1.42 4.14 0.78 13.7 4.0 23.6 9.2 51.2 38.0 9.8 15.4 -6.6 3.7 3.5 3.1 13.7 13.3 5.0 13.2 47.70 54.22 1.02 271.1 271.8 17.6 17.6 5.5 5.5 55.64 -14.3 40.31 18.3 8.0 9.80 5.68 10.34 6.10 1.34 1.26 45.0 25.7 51.0 27.9 21.8 22.1 19.2 20.4 0.5 1.4 0.6 1.6 9.90 5.68 -1.0 0.0 7.50 4.17 30.7 36.1 23.3 25.7 2.89 0.13 3.81 0.10 0.71 1.28 22.1 0.2 24.6 0.3 13.1 57.7 11.7 43.0 5.5 0.0 6.6 0.0 3.42 0.13 -15.5 0.0 2.86 0.05 1.0 160.0 -2.4 160.0 5.99 4.06 6.40 4.61 0.77 0.50 13.9 13.3 17.9 16.5 43.1 30.4 33.4 24.6 0.7 1.5 0.8 1.9 6.79 4.37 -11.8 -7.1 5.78 3.85 3.6 5.5 -5.7 -2.9 4.90 6.33 2.01 5.13 2.03 4.50 6.80 1.90 5.05 2.55 0.54 0.12 0.36 -0.21 0.29 18.2 35.8 16.2 26.6 4.3 21.2 40.5 18.2 30.2 7.1 27.0 17.7 12.4 19.3 47.3 23.1 15.6 11.0 17.0 28.7 1.7 2.8 2.4 2.6 0.5 2.0 3.2 2.7 3.0 0.9 5.03 7.07 2.88 5.45 2.74 -2.6 -10.5 -30.2 -5.9 -25.9 3.81 5.90 1.98 4.20 1.96 28.6 7.3 1.5 22.1 3.6 1.4 -3.9 -4.7 -4.1 -14.0 INDUSTRIAL SCIENTX SKPRES 7.47 1.29 8.50 1.75 0.54 0.55 67.9 9.3 78.0 14.4 11.0 13.8 9.6 8.9 2.7 3.4 3.1 5.3 7.61 1.44 -1.8 -10.4 5.75 1.12 29.9 15.2 11.5 0.0 MEDIA ASTRO MEDIA PRIMA STAR 2.86 1.21 2.46 3.30 0.85 1.95 1.05 0.68 0.57 11.9 7.7 15.0 13.5 8.0 15.8 24.0 15.6 16.4 21.3 15.2 15.5 4.4 5.1 7.3 4.5 5.3 7.3 3.02 1.54 2.70 -5.3 -21.4 -8.9 2.56 1.00 2.20 11.7 21.0 11.8 10.0 5.2 9.8 OIL & GAS EATECH MHB MISC PANTECH PCHEM SKPETRO UMWOG UZMA 0.68 0.97 7.44 0.53 7.58 1.88 0.65 1.76 0.45 0.96 8.16 0.52 7.91 1.92 0.54 1.40 na 1.78 0.86 1.24 1.13 2.40 1.95 1.37 11.5 -0.4 49.5 3.7 34.7 5.3 -14.7 11.3 11.9 1.1 56.1 4.3 39.3 4.6 -12.4 12.2 5.9 na 15.0 14.1 21.9 35.8 na 15.6 5.7 86.9 13.3 12.2 19.3 40.5 na 14.4 4.9 0.0 4.0 2.9 2.5 0.0 0.0 0.0 5.9 0.0 4.0 3.2 2.9 0.0 0.0 0.0 1.25 1.34 9.00 0.55 7.69 2.15 1.04 2.04 -45.6 -27.6 -17.3 -3.7 -1.4 -12.6 -37.5 -13.7 0.45 0.84 6.88 0.44 5.95 1.29 0.61 1.30 52.8 15.5 8.1 20.7 27.4 45.7 7.4 35.4 9.7 6.0 1.2 18.0 8.6 16.0 -25.7 3.5 BANKS & FINANCIAL SERVICES AFG 4.12 AFFIN 2.89 AMBANK 4.90 CIMB 5.65 HLBANK 13.74 MAYBANK 9.00 PBBANK 20.08 5.29 RHBBANK BURSA 9.87 CONSTRUCTION BPURI GADANG GAMUDA IJM SENDAI SUNCON WCT LITRAK Building Materials WTHORSE CONSUMER Brewery CARLSBG HEIM Retail AEON AMWAY F&N NESTLE PADINI POHUAT QL SIGN Tobacco BAT GAMING Casino GENTING GENM NFO BJTOTO LUSTER HEALTHCARE Hospitals IHH KPJ Rubber Gloves HARTA KOSSAN SUPERMX TOPGLOV KAREX
  12. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price (RM) PLANTATIONS FGV IJMPLNT IOICORP KLK SIME UMCCA 2.05 3.22 4.70 24.82 9.30 5.95 Target Price BETA (RM) 1.53 3.88 3.93 22.75 8.24 6.53 1.74 0.46 1.06 0.93 1.25 0.50 EPS (sen) PER (X) FY17 FY18 FY17 FY18 6.3 13.7 18.7 111.8 30.8 25.8 11.1 15.7 21.1 119.1 35.3 32.0 32.3 23.5 25.1 22.2 30.2 23.1 18.5 20.5 22.3 20.8 26.3 18.6 Div Yield (%) 52weeks 52weeks FY17 FY18 High Price % Chg Low Price % Chg 2.4 2.2 2.1 2.2 2.4 2.7 2.4 2.5 2.6 2.4 3.0 2.7 2.52 3.74 4.98 25.50 9.43 6.12 -18.7 -13.9 -5.6 -2.7 -1.4 -2.8 1.31 3.15 4.07 22.62 7.10 5.53 56.5 2.2 15.5 9.7 31.0 7.6 % Chg YTD 32.3 -5.3 6.8 3.4 14.8 -0.8 PROPERTY GLOMAC 0.73 0.69 0.65 3.4 7.0 21.0 10.3 5.5 5.5 0.84 -13.7 0.68 6.6 4.3 HUAYANG 1.14 1.09 0.64 20.0 17.4 5.7 6.5 3.5 3.1 1.43 -20.4 1.05 8.6 0.9 IBRACO 0.93 1.00 0.32 7.3 11.2 12.8 8.3 3.8 4.3 1.10 -15.5 0.91 2.2 -7.0 IOIPG 2.04 2.10 0.91 14.7 15.3 13.9 13.3 3.4 3.7 2.46 -17.1 1.85 10.4 4.6 Note: IOIPG 1 for 4 rights issue share, at an issue price of RM1.38 per rights share. Ex-Target price RM1.98. For more detail please refer to 21.11.16 report. MAHSING 1.50 1.60 0.68 14.5 12.5 10.3 12.0 4.0 3.7 1.70 -11.8 1.34 11.9 4.9 SNTORIA 0.72 0.80 0.28 6.4 9.7 11.3 7.4 1.4 1.4 0.86 -16.3 0.69 4.3 -10.0 SPSETIA 3.40 3.82 0.67 27.7 24.5 12.3 13.9 4.1 4.1 3.59 -5.3 2.80 21.4 8.6 SUNWAY 3.21 3.40 0.50 31.2 33.3 10.3 9.6 3.7 3.7 3.25 -1.2 2.87 11.8 5.9 REIT SUNREIT 1.74 1.79 0.55 8.9 10.1 19.6 17.2 5.1 5.8 1.84 -5.4 1.51 15.2 1.2 CMMT 1.66 1.78 0.62 8.1 8.5 20.5 19.5 5.4 5.7 1.72 -3.5 1.40 18.6 8.5 POWER & UTILITIES MALAKOF PETDAG PETGAS TENAGA YTLPOWR 1.17 23.70 19.96 13.78 1.52 1.45 20.19 19.64 17.19 1.81 na 0.78 0.78 1.02 0.59 6.9 98.4 89.4 129.4 8.8 8.3 102.3 91.6 132.7 10.6 16.9 24.1 22.3 10.6 17.4 14.1 23.2 21.8 10.4 14.4 6.0 3.1 3.2 2.5 6.6 5.0 3.2 3.0 2.6 6.6 1.80 25.70 22.66 14.90 1.64 -35.0 -7.8 -11.9 -7.5 -7.3 1.14 22.16 19.56 13.00 1.38 2.6 6.9 2.0 6.0 10.1 -14.6 -0.4 -6.3 -0.9 2.0 TELECOMMUNICATIONS AXIATA DIGI MAXIS TM 5.07 5.13 6.38 6.42 5.25 4.90 5.95 6.95 1.26 0.97 0.72 0.69 16.7 20.8 25.1 21.4 17.6 21.1 25.4 22.3 30.3 24.6 25.4 29.9 28.8 24.3 25.1 28.8 1.7 4.1 3.1 3.0 1.8 4.1 3.1 3.1 5.99 5.18 6.49 6.90 -15.4 -1.0 -1.7 -7.0 4.11 4.31 5.36 5.81 23.4 19.0 19.0 10.5 7.4 6.2 6.7 7.9 TECHNOLOGY Semiconductor & Electronics IRIS 0.15 INARI 1.97 MPI 10.62 UNISEM 3.12 0.14 2.05 10.55 3.15 1.35 0.76 0.45 0.79 -1.2 10.7 88.9 26.9 0.9 na 12.8 18.4 101.9 11.9 29.1 11.6 16.6 15.4 10.4 10.7 0.0 2.1 2.2 3.8 0.0 2.5 2.2 3.8 0.24 2.01 10.78 3.15 -37.5 -2.0 -1.5 -1.0 0.10 1.28 6.86 2.12 50.0 53.6 54.8 47.2 36.4 18.7 43.3 32.2 2.83 7.19 3.02 7.68 1.18 1.44 33.5 9.8 34.9 10.2 8.4 73.1 8.1 70.7 0.0 1.4 0.0 1.4 3.30 7.30 -14.2 -1.5 1.75 5.76 61.7 24.8 23.6 18.6 1.74 4.00 1.88 4.51 0.85 0.71 15.5 19.3 21.7 17.4 11.2 20.7 8.0 23.0 3.2 3.6 4.0 3.3 1.76 4.59 -1.1 -12.9 1.22 3.74 42.6 7.0 9.4 -7.0 TRANSPORTATION Airlines AIRASIA AIRPORT Freight & Tankers TNLOGIS WPRTS SNAPSHOT OF FOREIGN STOCKS UNDER COVERAGE Company Share Price (S$) BANKS & FINANCIAL SERVICES DBS 19.00 OCBC 9.62 UOB 21.80 PLANTATIONS WILMAR IFAR 3.55 0.53 Target Price Beta (S$) EPS (cent) PER (X) FY17 FY18 FY17 FY18 Div Yield (%) 52week 52week FY17 FY18 High Price % Chg Low Price % Chg % Chg YTD 16.70 8.50 19.40 1.21 1.12 1.08 173.8 87.8 195.7 190.2 10.9 92.5 11.0 209.4 11.1 10.0 10.4 10.4 3.2 5.7 3.2 3.2 6.7 3.2 19.4 9.8 22.0 -1.9 -1.6 -1.1 14.63 8.84 17.41 29.9 17.2 25.2 9.6 7.8 6.9 3.45 0.51 0.91 1.11 28.9 3.9 31.1 4.3 11.4 12.3 2.3 1.8 2.5 2.0 4.0 0.6 -11.3 -16.0 2.96 0.44 19.9 19.3 -1.1 0.0 12.3 13.4 BUY : Total return within the next 12 months exceeds required rate of return by 5%-point. HOLD : Total return within the next 12 months exceeds required rate of return by between 0-5%-point. SELL : Total return is lower than the required rate of return. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium.
  13. TA Securities A Member of the TA Group MENARA TA ONE , 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 SECTOR UPDATE Wednesday, March 22, 2017 FBM KLCI: 1,754.67 Sector: Automotive Underweight Automotive Sector YoY Improvement in TIV THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Abel Goon Tel: +603-2072 1277 ext. 1641 abelgoon@ta.com.my TIV Improves YoY Total Industry Volume (TIV) in February was broadly in-line with expectations, at 42.5k units (MoM: -5.0%, YoY: +12.1%). MAA attributed the lower sales to the shorter working month due to Chinese New Year festivities. Other than that, market conditions remained the same. Similar to last year, February saw a MoM dip as most major dealers had a one-week break in conjunction with Chinese New Year. We expect March’s TIV to register better numbers as it is a longer working month. Furthermore, promotional activities from the major companies have not slowed down. YTD, passenger vehicles saw a 7.0% increase whereas commercial vehicles posted a 6.1% decline. Cumulatively, TIV saw a 5.6% YoY increase. YTD increase was underpinned by Toyota (+106.6% YoY) and Honda (+43.4% YoY). YTD TIV of 87.1k units constitutes 14.9% and 14.8% of ours and MAA’s forecast respectively. Mazda’s Volume Suffers Mazda’s TIV hit a 3-year low, with only 460 units (MoM: -43.1%, YoY: -40.3%) in February 2017. This was lower than Mercedes (900 units) and BMW (650 units), which typically register lower volumes than Mazda. That said, the weak sales volume was within expectations. Management of Bermaz Auto had guided for weak sales in February, as there was a one week holiday observed in conjunction with Chinese New Year. Furthermore, management shared that Bermaz books losses for every unit of Mazda 2 sold due to the high JPY/MYR rate. Therefore, no specific actions were taken to push volumes higher. National Regain Market Share National marques have regained market share in a big way. The gain in market share was mainly driven by Perodua as it expanded its market share by 7ppt to 39%. However, we note that market share of national marques in February is always the highest throughout the year. This is due to February registering lower monthly TIV as a result of the shorter working month. Thus, it remains to be seen if the gain in market share is a one-off event or are national marques making a comeback. 2017 Perodua Myvi Update The 3rd Gen Perodua Myvi is expected to be launched this year. According to various sources, it will feature a plastic fuel tank (first Perodua model with this feature), which reduces the total weight of the car. Furthermore, features found in the Bezza such as keyless entry, VSC and Eco Idle mode are likely to be adopted in the new Myvi. However, as the launch is expected only in November it will not have major contributions in 2017 TIV. This concurs with Perodua’s lower sales target, which implies a 2.5% YoY decline to 202k units (FY16: 207.1k units). Maintain Underweight We maintain our Underweight stance on the industry and our 2017 TIV forecast at 586.5k units (+1.1% YoY). Our forecast reflects a slight recovery in TIV as we anticipate consumers that have delayed their purchases in 2016 to finally relent and yield to attractive packages and product offerings. Furthermore, new models such as the Honda BR-V, the all-new Mazda CX-5, expected Toyota C-HR, and a 3rd Gen Myvi will excite the market. On the other hand, stringent HP loan requirements will continue to subdue growth in TIV. BAuto is rated as Buy with TP of RM2.36 due to its handsome dividends and potential growth from the export market. Meanwhile, UMW and MBM Resources are rated as Sell with TP of RM5.12 and RM2.04, respectively. Page 1 of 5 www.taonline.com.my
  14. TA Securities 22-Mar-17 A Member of the TA Group Figure 1 : Breakdown of TIV Pa s s enger Commerci a l TIV Feb-16 34,054 3,820 37,874 Jan-17 40,294 4,373 44,667 Feb-17 38,881 3,574 42,455 % MoM (3.5) (18.3) (5.0) % YoY 14.2 (6.4) 12.1 2M2016 73,996 8,467 82,463 2M2017 79,175 7,947 87,122 % YoY 7.0 (6.1) 5.6 % YoY 2M2016 2M2017 % YoY Source: MAA, TA Research Figure 2: Breakdown of TIV by segments Passenger vehicles Feb-16 National Perodua 14,014 Proton 5,947 Total 19,961 Jan-17 Feb-17 % MoM 14,203 7,207 21,410 16,603 6,099 22,702 16.9 (15.4) 6.0 18.5 2.6 13.7 29,552 13,690 43,242 30,806 13,306 44,112 4.2 (2.8) 2.0 Non-national BMW Mercedes Honda Ni s s a n Toyota Ma zda VW Others Total 558 653 5,616 2,445 1,798 752 539 1,732 14,093 638 911 8,594 1,161 4,441 789 327 2,023 18,884 650 900 7,695 1,416 3,274 449 275 1,520 16,179 1.9 (1.2) (10.5) 22.0 (26.3) (43.1) (15.9) (24.9) (14.3) 16.5 37.8 37.0 (42.1) 82.1 (40.3) (49.0) (12.2) 14.8 1,172 1,680 11,359 5,611 3,735 2,039 943 4,215 30,754 1,288 1,811 16,289 2,577 7,715 1,238 602 3,543 35,063 9.9 7.8 43.4 (54.1) 106.6 (39.3) (36.2) (15.9) 14.0 Grand Total 34,054 40,294 38,881 (3.5) 14.2 73,996 79,175 7.0 Commercial vehicles Hi no Is uzu Mi ts ubi s hi Ni s s a n Toyota Ma zda Others Total Feb-16 331 682 553 328 1,119 30 777 3,820 Jan-17 300 743 674 394 1,370 15 877 4,373 Feb-17 126 682 427 392 1,256 11 680 3,574 % MoM (58.0) (8.2) (36.6) (0.5) (8.3) (26.7) (22.5) (18.3) % YoY (61.9) 0.0 (22.8) 19.5 12.2 (63.3) (12.5) (6.4) 2M2016 779 1,475 1,293 812 2,162 97 1,849 8,467 2M2017 426 1,425 1,101 786 2,626 26 1,557 7,947 % YoY (45.3) (3.4) (14.8) (3.2) 21.5 (73.2) (15.8) (6.1) Figure 3: Breakdown by main manufacturers/distributors UMW Feb-16 Jan-17 Feb-17 Toyota (Pa s s enger ca rs ) 1,798 4,441 3,274 Lexus 90 67 51 Toyota (Commerci a l ) 1,119 1,370 1,256 Total 3,007 5,878 4,581 Perodua 14,014 14,203 16,603 Grand total 17,021 20,081 21,184 % MoM (26.3) (23.9) (8.3) (22.1) 16.9 5.5 % YoY 82.1 (43.3) 12.2 52.3 18.5 24.5 2M2016 3,735 151 2,162 6,048 29,552 35,600 2M2017 7,715 118 2,626 10,459 30,806 41,265 % YoY 106.6 (21.9) 21.5 72.9 4.2 15.9 Tan Chong Ni s s a n (Pa s s enger ca rs ) Rena ul t Ni s s a n (Commerci a l ) Total Feb-16 2,445 33 328 2,806 Jan-17 1,161 51 394 1,606 Feb-17 1,416 22 392 1,830 % MoM 22.0 (56.9) (0.5) 13.9 % YoY (42.1) (33.3) 19.5 (34.8) 2M2016 5,611 83 812 6,506 2M2017 2,577 73 786 3,436 % YoY (54.1) (12.0) (3.2) (47.2) Bermaz Auto Ma zda (Pa s s enger ca rs ) Ma zda (Commerci a l ) Total Feb-16 752 30 782 Jan-17 789 15 804 Feb-17 449 11 460 % MoM (43.1) (26.7) (42.8) % YoY (40.3) (63.3) (41.2) 2M2016 2,039 97 2,136 2M2017 1,238 26 1,264 % YoY (39.3) (73.2) (40.8) MBM Resources VW Vol vo Mi ts ubi s hi Hi no Da i ha ts u Total Feb-16 539 49 553 331 48 1,520 Jan-17 327 26 674 300 41 1,368 Feb-17 275 76 427 126 56 960 % MoM (15.9) 192.3 (36.6) (58.0) 36.6 (29.8) % YoY (49.0) 55.1 (22.8) (61.9) 16.7 (36.8) 2M2016 943 94 1,293 779 126 3,235 2M2017 602 102 1,101 426 97 2,328 % YoY (36.2) 8.5 (14.8) (45.3) (23.0) (28.0) Source: MAA, TA Research Source: MAA, TA Research Page 2 of 5
  15. Source : MAA, TA Research Page 3 of 5 Jul-14 Jan-16 Jan-17 Oct-16 YoY Growth (RHS) Jan-17 Jul-16 Apr-16 Jan-16 Oct-15 Jul-15 Apr-15 Jan-15 Oct-14 Jul-14 A Member of the TA Group Nov-16 Sep-16 Others Jul-16 May-16 Mar-16 Honda Nov-15 Sep-15 Jul-15 May-15 Mar-15 Nissan Jan-15 Nov-14 Sep-14 Toyota Apr-14 Jan-14 National May-14 Mar-14 Oct-13 Jul-13 TIV (LHS) Jan-14 Nov-13 Perodua Sep-13 Apr-13 unit Jul-13 Jan-13 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Nov-12 Jan-13 Mar-13 May-13 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 May-14 Jul-14 Sep-14 Nov-14 Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Sep-16 Nov-16 Jan-17 80,000 May-13 Mar-13 Oct-12 Jul-12 Apr-12 Jan-12 Oct-11 Jul-11 Apr-11 Jan-11 75% Jan-13 Proton Nov-12 Sep-12 Jul-12 % May-12 45 Mar-12 Jan-12 Nov-11 Sep-11 Jul-11 May-11 Mar-11 Jan-11 TA Securities 22-Mar-17 Figure 4: TIV vs. YoY growth 40% 70,000 30% 60,000 20% 50,000 10% 40,000 0% 30,000 -10% 20,000 -20% 10,000 -30% 0 -40% Source: MAA, TA Research Figure 5: Passenger Vehicle Market Share (National vs. non-national manufacturers) 70% Non-National 65% 60% 55% 50% 45% 40% 35% 30% Source: MAA, TA Research Figure 6: Total Market Share by Brand Mazda 40 35 30 25 20 15 10 5 0
  16. TA Securities 22-Mar-17 A Member of the TA Group Figure 7 : TIV (MoM change) Jan + + + - 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Feb + + - Mar + + + + + + + + + + + + + *+ : increase, - : decrease Apr + - May + + + + + + + + Jun + + + + + + + + + + Jul + + + + + + + + + - Aug + + + + + + Sep + + + + - Oct + + + + + + + - Nov + + + + + + Dec + + + + + + + + + + Hari Raya Month Source: MAA, TA Research Figure 8: Cumulative Sales Volume (YoY growth) 2M17 1M17 Figure 9: TIV On Half Year Basis (unit) 12M16 1H 350,000 43% 50% Honda 300,000 -3% -48% -57% Nissan 2H 250,000 -14% 200,000 75% Toyota 95% -32% 150,000 4% Perodua Proton -9% -3% 100,000 -3% -7% 50,000 -29% 0 -100% -50% 0% 50% 100% 150% 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Source: MAA, TA Research Source: MAA, TA Research Figure 10: Monthly Sales Volume Breakdown by Brand (unit) Figure 11: Market share (%) Jan-17 Feb-17 % 14,014 14,203 16,603 Feb-16 16,000 45 40 35 14,000 Perodua Source: MAA, TA Research Toyota Nissan 5 Honda Mazda 7.3 3.5 4.3 10 13.0 10.7 7.7 15.7 16.1 14.4 5,825 6,493 5,260 15 0 0 Proton 14.8 19.2 18.1 8,594 7,695 20 2.1 1.8 1.1 2,000 25 782 804 460 4,000 5,616 6,000 2,773 1,555 1,808 2,917 5,811 4,530 5,947 7,207 6,099 8,000 Feb-17 30 12,000 10,000 Jan-17 37.0 31.8 39.1 18,000 Feb-16 Proton Others Perodua Source: MAA, TA Research Page 4 of 5 Toyota Nissan Honda Mazda
  17. TA Securities 22-Mar-17 A Member of the TA Group Figure 12 : YTD Sales Volume Breakdown by Brand (unit) 30,000 2M2017 2M2016 % 2M2017 35.8 35.4 2M2016 29,552 30,806 35,000 Figure 13: YTD Market Share (%) 40 35 30 10 13.8 16.3 13.5 18.7 7.2 7.8 11.9 16.6 15.3 5 2.6 1.5 13,406 11,753 15 3.9 5,000 20 2,136 1,264 10,000 25 6,423 3,363 15,000 5,897 10,341 13,690 13,306 20,000 11,359 16,289 25,000 0 0 Perodua Toyota Nissan Honda Mazda Proton Others Perodua Toyota Nissan Honda Mazda Others Source: MAA, TA Research Source: MAA, TA Research Figure 14: National vs. Non-national (Sales Volume)-Monthly Figure 15: National vs. Non-national (Market share)-Monthly Non-National National Sep-16 May-16 Jan-16 Sep-15 May-15 Jan-15 Sep-14 May-14 Jan-14 Sep-13 May-13 Jan-11 Jan-17 Sep-16 May-16 Jan-16 Sep-15 May-15 Jan-15 Sep-14 Jan-14 May-14 Sep-13 Jan-13 May-13 Sep-12 Jan-12 May-12 Sep-11 Jan-11 May-11 15,000 Jan-13 20,000 Sep-12 25,000 Jan-12 30,000 May-12 35,000 Sep-11 40,000 Source: MAA, TA Research Non-National 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% May-11 National 45,000 Jan-17 Proton Source: MAA, TA Research Figure 16: Peers Comparison Price Tgt.Price Company (RM) (RM) MBM Resources 2.40 2.04 UMW 6.10 5.12 BAuto 2.06 2.36 Average Call Sell Sell Buy PE (x) CY17 CY18 10.6 10.1 34.5 22.1 14.6 12.1 19.9 14.8 PB(x) CY17 CY18 0.5 0.5 1.4 1.4 4.1 3.9 2.0 1.9 Dividend Yield (%) CY17 CY18 3.8 3.8 1.8 1.8 7.0 8.2 4.2 4.6 ROE (%) CY17 CY18 4.6 4.6 4.2 6.2 27.9 32.3 12.2 14.4 Stock Recommendation Guideline BUY : HOLD : SELL : Not Rated: Total return within the next 12 months exceeds required rate of return by 5%-point. Total return within the next 12 months exceeds required rate of return by between 0-5%-point. Total return is lower than the required rate of return. The company is not under coverage. The report is for information only. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD(14948-M) (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 5 of 5
  18. Wednesday , 22 March, 2017 For Internal Circulation Only TA RESEARCH’S ‘DAILY COMPILED LOCAL TECHNICAL REPORTS’ Local Technical Reports 1. Daily Technical Stock Picks 2. Daily Stock Screen Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research
  19. T e c h n i c a l TA Securities V i e w Wednesday , March 22, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Daily Technical Stock Picks Malaysia FBM KLCI: 1,754.67 (+5.26, +0.30%) THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Name FBMKLCI AFFIN AFG AMBANK AXIATA CIMB DIGI GAMUDA GENTING GENM IHH IOICORP MALAKOFF MAXIS MAYBANK MBSB RHBBANK SIME TENAGA TM WPRTS AIRASIA AIRASIA X ARMADA BINAPURI CMSB DIALOG ECO WORLD GADANG HSL ISKANDAR KIMLUN KKBE MUDAJAYA MRCB NAIM SKPETRO SUNCON UEMS WASEONG WCT Close 21-Mar 1754.67 2.89 4.12 4.90 5.07 5.65 5.13 5.12 9.80 5.68 5.99 4.70 1.17 6.38 9.00 1.24 5.29 9.30 13.78 6.42 4.00 2.83 0.40 0.75 0.46 4.32 1.71 1.51 1.27 1.70 2.62 2.20 1.25 0.97 1.64 1.53 1.88 1.75 1.30 0.90 1.86 Tel: +603-2167-9607 Change High Low 5.26 1,757.99 1,748.82 0.00 -0.01 -0.04 -0.01 0.00 0.01 -0.02 -0.03 0.14 -0.04 0.02 0.00 0.02 0.10 0.00 -0.01 0.00 0.06 0.02 0.11 -0.04 -0.01 0.02 0.01 0.12 0.04 -0.04 -0.01 -0.01 -0.09 0.00 -0.01 0.05 0.12 -0.01 0.00 0.00 0.04 0.02 -0.02 2.92 4.14 4.97 5.13 5.73 5.14 5.19 9.90 5.68 6.08 4.74 1.18 6.42 9.00 1.26 5.38 9.34 13.78 6.45 4.00 2.88 0.41 0.76 0.48 4.35 1.71 1.56 1.29 1.71 2.72 2.21 1.26 0.98 1.67 1.55 1.89 1.76 1.32 0.92 1.88 2.89 4.10 4.88 5.03 5.62 5.10 5.10 9.68 5.54 5.96 4.67 1.16 6.35 8.95 1.22 5.27 9.20 13.54 6.35 3.85 2.80 0.40 0.73 0.46 4.18 1.66 1.51 1.27 1.69 2.55 2.18 1.25 0.91 1.51 1.53 1.85 1.73 1.25 0.89 1.85 Bollinger Bands Lower Mid Upper 1,684.47 1,719.25 1,754.03 2.41 3.82 4.57 4.29 4.88 4.98 4.82 8.78 5.10 5.78 4.60 1.15 6.28 8.44 1.11 4.83 8.96 13.46 6.07 3.83 2.59 0.39 0.68 0.43 4.10 1.60 1.46 1.05 1.65 0.53 2.08 1.19 0.80 1.38 1.47 1.78 1.68 1.10 0.85 1.82 2.74 3.99 4.82 4.69 5.32 5.08 4.99 9.36 5.35 5.96 4.69 1.18 6.37 8.74 1.17 5.11 9.15 13.65 6.26 3.95 2.78 0.40 0.73 0.45 4.20 1.66 1.51 1.20 1.70 1.86 2.21 1.27 0.89 1.49 1.55 1.91 1.73 1.20 0.88 1.87 3.07 4.17 5.08 5.09 5.76 5.18 5.16 9.95 5.60 6.15 4.78 1.22 6.47 9.04 1.23 5.38 9.34 13.84 6.45 4.08 2.97 0.41 0.78 0.47 4.29 1.72 1.57 1.35 1.74 3.19 2.34 1.34 0.98 1.60 1.64 2.04 1.79 1.29 0.90 1.92 stsoo@ta.com.my RSI Moving Averages 14d 10d 30d 50d 73.52 1,730.87 1,714.15 1,698.39 77.64 64.45 62.64 65.26 75.54 59.96 66.11 73.40 71.23 47.02 54.09 35.65 54.50 72.24 70.88 68.41 65.12 60.82 69.34 50.46 56.30 48.05 61.07 55.74 62.87 68.88 52.09 67.34 51.73 81.70 50.42 44.81 65.76 76.67 42.67 50.72 55.67 76.77 60.07 48.80 2.87 4.06 4.89 4.81 5.48 5.12 5.05 9.59 5.41 5.95 4.68 1.18 6.39 8.84 1.19 5.22 9.20 13.73 6.34 3.91 2.86 0.40 0.72 0.45 4.20 1.67 1.52 1.27 1.70 2.46 2.21 1.26 0.91 1.53 1.53 1.88 1.73 1.23 0.87 1.86 2.66 3.96 4.74 4.78 5.24 5.08 4.98 9.13 5.25 6.06 4.67 1.22 6.38 8.60 1.17 5.10 9.13 13.61 6.22 4.01 2.74 0.41 0.72 0.45 4.21 1.63 1.51 1.16 1.70 1.59 2.20 1.30 0.89 1.49 1.59 1.89 1.73 1.18 0.88 1.88 2.57 3.89 4.64 4.78 5.09 5.02 4.95 8.78 5.07 6.16 4.60 1.26 6.26 8.46 1.12 5.04 8.95 13.68 6.17 4.10 2.63 0.40 0.68 0.45 4.15 1.60 1.46 1.12 1.68 1.31 2.17 1.30 0.89 1.46 1.60 1.82 1.72 1.15 0.86 1.86 DMI DI + DI - ADX 45.68 12.60 41.41 Diff 33.07 33.87 28.61 29.13 34.91 41.48 18.94 23.83 35.66 34.55 18.72 23.89 14.04 18.05 32.62 30.90 32.19 25.60 13.18 26.63 16.45 22.24 17.69 27.85 27.14 27.19 30.34 22.82 31.49 24.93 46.20 23.11 21.70 39.41 39.29 19.61 21.98 17.50 34.78 28.80 16.42 26.52 18.56 16.31 17.75 32.35 (0.21) 8.42 29.74 25.50 (2.00) 6.89 (9.13) 3.48 19.12 20.71 17.58 5.35 (13.26) 16.38 (10.12) 4.58 7.24 14.87 14.00 18.37 18.37 12.81 22.41 0.31 30.17 3.32 (6.68) 24.58 32.21 (1.98) (4.51) 7.88 27.53 15.67 (8.19) 7.36 10.05 12.82 17.16 9.13 19.14 15.41 5.91 9.05 20.71 17.00 23.18 14.56 13.49 10.19 14.61 20.26 26.44 10.25 26.57 17.66 10.45 19.78 12.27 13.19 11.97 10.00 9.09 24.61 16.03 19.79 28.38 14.82 7.08 21.59 26.50 9.62 7.25 13.13 24.61 51.59 34.79 37.24 22.41 40.35 15.81 19.28 64.07 45.26 19.33 20.27 23.14 17.69 37.11 35.00 25.85 21.92 18.91 24.02 56.27 24.86 19.38 20.13 23.64 15.93 43.12 35.39 48.45 14.35 61.33 25.31 16.43 24.90 41.78 26.90 27.85 24.86 40.78 17.05 19.06 www.taonline.com.my Line 13.84 0.10 0.06 0.08 0.06 0.16 0.03 0.05 0.30 0.13 -0.05 0.02 0.02 0.03 0.14 0.03 0.07 0.09 0.03 0.07 -0.06 0.07 0.00 0.01 0.00 0.02 0.02 0.02 0.05 0.01 0.45 0.01 -0.02 0.01 0.03 -0.02 0.01 0.01 0.03 0.00 0.00 MACD Signal 11.26 0.10 0.05 0.09 0.00 0.13 0.03 0.03 0.28 0.11 -0.07 0.03 0.02 0.04 0.14 0.02 0.06 0.09 0.02 0.06 -0.06 0.07 0.00 0.01 0.00 0.02 0.02 0.02 0.05 0.01 0.36 0.02 -0.02 0.01 0.02 -0.02 0.02 0.00 0.03 0.00 0.00 Diff 2.587 DMI MACD Recent Signal BUY BUY 0.003 0.010 (0.008) 0.053 0.027 0.004 0.016 0.025 0.017 0.022 (0.008) (0.001) (0.013) 0.006 0.004 0.014 0.005 0.015 0.011 0.009 0.001 (0.000) (0.002) 0.001 0.002 (0.001) (0.001) 0.006 (0.001) 0.088 (0.007) 0.000 0.007 0.010 (0.001) (0.013) 0.002 0.008 0.000 (0.001) BUY BUY BUY BUY BUY SELL BUY BUY BUY SELL BUY SELL BUY BUY BUY BUY BUY SELL BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY SELL SELL BUY BUY BUY SELL BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY SELL SELL SELL BUY BUY BUY BUY BUY BUY BUY BUY SELL SELL BUY BUY SELL SELL BUY SELL BUY SELL BUY BUY BUY SELL SELL BUY BUY BUY SELL DMI MACD Signal Change - SELL BUY BUY SELL BUY BUY - The table above is a compilation of actively traded stocks with some popular technical indicators. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. INTERPRETATION OF TECHNICAL INDICATORS: Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30-day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average, and negative if it remains below. A longer-term uptrend is intact if share price sustain above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Page 1 of 2
  20. Technical Comments : Positive technical momentum supports further upside bias on Dialog towards the 76.4%FR (RM1.78), RM1.88 and the 8/7/14 high (RM1.96) ahead, while key chart supports are from the mid Bollinger band (RM1.66) and 50%FR (RM1.58). Wah Seong shares need convincing breakout above the 61.8%FR (95sen) to enhance upside momentum to the 50%FR (RM1.04) and 38.2%FR (RM1.14) going forward, while key retracement support is at the 76.4%FR (83sen). DIALOG Upper Middle RM1.71 (+0.04) BOLLINGER BANDS RM RM 1.72 1.66 10-day 30-day RM 1.60 50-day Lower DMI Recent Signal BUY 1.60 Recent Signal SELL Signal Change WAH SEONG Recent Signal Signal Change RM DAILY MACD Signal Change Upper Middle Lower SIMPLE MOVING AVERAGES RM 1.67 RM 1.63 BOLLINGER BANDS RM RM RM DMI RM0.90 (+0.02) 0.90 0.88 0.85 BUY SIMPLE MOVING AVERAGES RM 0.87 RM 0.88 RM 0.86 DAILY MACD Recent Signal BUY Signal Change BUY 10-day 30-day 50-day Page 2 of 2
  21. T e c h n i c a l TA Securities V i e w Wednesday , March 22, 2017 FBMKLCI: 1,754.67 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Daily Stock Screen s Malaysia End Day Census of 21.03.2017 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my Report Description: The Daily Stock Screen is a retail product which can be a very useful guide for momentum trading and trading ideas .The following list is derived from the screening of more than 1000 stocks currently listed on Bursa Malaysia to identify: the top 20 breakout, 20 breakdown, and 30 ‘potential’ breakout stocks which just climbed above the middle Bollinger band, with potential to appreciate toward the upper Bollinger band. [MIDDLE BOLLINGER RANGEBOUND] List of 30 Potential Breakout Stocks (Short-term BUY for upside toward Upper Bollinger Band or higher to TAKE PROFIT/SELL) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Stock Name NAIM INDAH CORP FRONTKEN CORP AT SYSTEMATIZATI DAYA MATERIALS BORNEO OIL BHD EA HOLDINGS SANICHI TECHNOLO MQ TECHNOLOGY BH BIOALPHA HOLDING COMPUGATES HOLDI NETX HOLDINGS BH TH HEAVY ENGINEE TALAM TRANSFORM HO WAH GENTING BERJAYA CORP BHD DGB ASIA BHD PERISAI PETROLEU PDZ HOLDINGS BHD GREEN PACKET BHD NEXGRAM HOLDINGS CME GROUP BHD MARCO HOLDINGS B YFG BHD XINGQUAN INTERNA IOI CORP BHD SCOMI GROUP BHD MAXIS BHD KARAMBUNAI CORP SINOTOP HOLDING G NEPTUNE BHD Price 0.10 0.25 0.05 0.08 0.18 0.07 0.08 0.06 0.25 0.04 0.03 0.14 0.05 0.06 0.39 0.04 0.07 0.07 0.30 0.05 0.07 0.17 0.06 0.10 4.70 0.19 6.38 0.08 0.13 0.05 RSI Bollinger Band Moving Average Lower Middle Upper 14-day 10-day 30-day 50-day 0.08 0.20 0.03 0.06 0.16 0.05 0.07 0.04 0.22 0.03 0.02 0.12 0.03 0.05 0.38 0.03 0.06 0.06 0.26 0.04 0.05 0.15 0.05 0.08 4.60 0.16 6.28 0.05 0.11 0.03 0.09 0.24 0.04 0.07 0.17 0.06 0.07 0.05 0.24 0.04 0.02 0.14 0.04 0.06 0.39 0.04 0.07 0.07 0.29 0.04 0.06 0.16 0.06 0.09 4.69 0.17 6.37 0.07 0.12 0.04 0.10 0.27 0.05 0.08 0.19 0.07 0.08 0.06 0.27 0.04 0.03 0.15 0.05 0.07 0.40 0.04 0.07 0.07 0.31 0.05 0.07 0.17 0.06 0.10 4.78 0.19 6.47 0.08 0.13 0.05 62.22 58.87 61.70 62.00 51.91 57.87 62.25 58.17 57.92 56.43 63.93 49.94 54.31 50.40 54.32 66.32 50.65 53.77 58.59 54.66 66.47 62.66 61.53 56.98 54.09 58.10 54.50 63.46 54.80 54.68 0.09 0.25 0.05 0.07 0.18 0.06 0.07 0.05 0.25 0.04 0.02 0.13 0.04 0.06 0.39 0.04 0.07 0.07 0.30 0.04 0.06 0.16 0.06 0.09 4.68 0.18 6.39 0.07 0.12 0.04 0.09 0.23 0.04 0.07 0.17 0.06 0.07 0.05 0.24 0.04 0.02 0.14 0.04 0.06 0.39 0.04 0.07 0.07 0.28 0.04 0.06 0.16 0.05 0.09 4.67 0.18 6.38 0.06 0.12 0.04 0.09 0.21 0.04 0.07 0.17 0.06 0.07 0.05 0.23 0.04 0.02 0.15 0.04 0.06 0.38 0.04 0.07 0.07 0.27 0.04 0.06 0.16 0.05 0.09 4.60 0.17 6.26 0.06 0.12 0.04 Vol 39,301,300 37,877,600 33,708,700 31,506,300 21,301,400 19,103,900 18,183,700 16,649,000 16,521,700 16,073,700 15,681,300 12,676,000 11,323,000 10,798,300 10,617,400 9,345,500 8,684,100 7,871,200 7,657,500 7,460,600 6,833,500 6,644,400 6,177,200 5,456,800 5,455,900 4,892,600 4,589,400 4,398,600 3,993,000 3,970,000 20-day avg vol 5,802,215 30,369,110 29,133,030 5,249,035 70,374,790 7,019,565 8,869,495 10,848,820 22,748,980 5,173,740 3,718,555 3,137,665 9,038,345 16,016,350 17,952,980 4,237,540 7,690,215 2,776,705 8,399,645 8,911,550 941,465 2,421,695 3,435,550 2,771,800 6,776,570 3,966,175 3,345,095 9,747,420 1,711,760 522,150 Raw data sourced from Bloomberg *Note: To qualify in this list above, the first sorting criteria is stock price must have just climbed or stayed ABOVE the middle Bollinger Band, followed by a second criteria that trading volume for the day must be significantly strong. This is a good watch list for momentum traders looking for short-term BUY ideas, as they are laggards with good upside potential towards the upper Bollinger band or higher to TAKE PROFIT/SELL. Caveat: Some stocks may continue to stay range bound and trade sideways, hence traders should refer to their respective charts to spot accumulation (volume growth) or breakout patterns. INTERPRETATION OF TECHNICAL INDICATORS: Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The mediumterm trend is positive if share price stays above the 30-day, and negative if it remains below this average. 14-day RSI: A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30-day SMA should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day SMA is bearish and imply further near-term downside risk. Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders will buy on price breaks above the upper band, and sell when price breaks below the lower band. Alternatively, a sharp move that originates at one band tends to go all the way to the other band, a useful observation when projecting price targets. Page 1 of 2
  22. TA Securities A Member of the TA Group *Note: To qualify in the breakout list below, the first sorting criteria is stock price must close ABOVE the upper Bollinger Band, followed by a second criteria that trading volume for the day must be significantly higher than the 20-day average volume, which signal a bullish breakout. Caveat: We would caution momentum traders that a highly overbought 14-day RSI reading (> 80) and share price pullback BELOW the upper Bollinger Band are early warning signals to exit buy breakout trades. [UPPER BOLLINGER BREAKOUT] Top 20 Breakout Stocks (Generally BULLISH, but can be short-term TAKE PROFIT/SELL guide) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Stock Name Price KUMPULAN PERANGS ASIA BRANDS BHD MPAY TANCO HLDGS BHD UTUSAN MELAYU CAB CAKARAN CORP PUNCAK NIA HLD B TURIYA BHD SALCON BHD ADV SYNERGY BHD CME GROUP BHD MERGE ENERGY BHD AMEDIA FSBM HOLDINGS BH NAIM INDAH CORP EFFICIENT E-SOLU DAYA MATERIALS MPHB CAPITAL BHD OLYMPIA INDS BHD 1.67 1.11 0.26 0.11 0.54 1.87 1.08 0.21 0.66 0.18 0.07 0.36 0.12 0.21 0.10 0.30 0.08 1.63 0.17 4.72 UNITED U-LI CORP Raw data sourced from Bloomberg 20 Bollinger Band RSI Moving Average Lower Middle Upper 14-day 10-day 30-day 50-day 0.97 0.84 0.20 0.07 0.36 1.59 0.89 0.17 0.59 0.11 0.05 0.29 0.10 0.16 0.08 0.23 0.06 1.32 0.07 4.22 1.22 0.97 0.23 0.08 0.43 1.69 0.97 0.19 0.62 0.14 0.06 0.32 0.11 0.18 0.09 0.25 0.07 1.43 0.12 4.42 1.46 1.10 0.25 0.10 0.49 1.78 1.05 0.21 0.65 0.17 0.07 0.35 0.12 0.20 0.10 0.28 0.08 1.53 0.16 4.62 86.73 72.17 67.70 69.77 70.03 73.74 72.62 68.32 70.64 78.22 66.47 61.01 63.72 56.56 62.22 72.91 62.00 80.27 72.27 70.88 1.26 0.96 0.23 0.09 0.42 1.71 0.98 0.19 0.62 0.15 0.06 0.33 0.11 0.18 0.09 0.25 0.07 1.45 0.13 4.42 1.22 0.98 0.23 0.08 0.43 1.69 0.98 0.19 0.62 0.13 0.06 0.32 0.11 0.18 0.09 0.26 0.07 1.43 0.11 4.44 1.22 0.98 0.21 0.08 0.42 1.65 0.96 0.18 0.61 0.12 0.06 0.31 0.11 0.19 0.09 0.25 0.07 1.37 0.10 4.27 Vol 36,989,200 33,500 122,540,000 122,932,000 400,900 3,127,400 19,922,100 1,540,100 24,741,000 36,175,100 6,833,500 673,600 6,289,900 609,500 39,301,300 5,887,800 31,506,300 2,405,600 144,817,800 719,100 20-day avg vol 2,630,950 2,490 9,534,585 10,435,590 34,735 297,620 2,361,125 183,460 3,192,235 4,768,115 941,465 95,540 920,965 89,295 5,802,215 913,015 5,249,035 401,545 24,229,510 126,010 p *Note: As for the top 20 breakdown list below, the sole sorting criteria is stock price must close significantly BELOW the lower Bollinger Band, with the largest distance from the lower band at the top of the table, signaling a severe sell-off which is bearish. Caveat: A stock should bottom out if share price moves ABOVE the falling lower Bollinger Band, which can be a good buy signal for technical rebound upside after the sharp sell-off. p [LOWER BOLLINGER BREAKDOWN] Top 15 Breakdown Stocks (Generally BEARISH, but can be short-term BUY guide) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Stock Name MTOUCHE TECH SKP RESOURCES BH ANN JOO RESOURCE VERSATILE CREATI ENG KAH CORP BHD ADV PACKAGIN (M) JMR CONGLOMERATI GOH BAN HUAT BINA DARULAMAN COMPUTER FORMS SCC FIMA CORP BHD IMASPRO CORP BHD MNC WIRELESS BHD SUNGEI BAGAN RUB Price 0.10 1.29 2.49 1.32 1.48 2.15 0.93 1.36 0.80 1.06 1.72 2.21 1.98 0.06 2.98 Bollinger Band RSI Moving Average Lower Middle Upper 14-day 10-day 30-day 50-day 0.13 1.31 2.50 1.33 1.49 2.15 0.93 1.36 0.80 1.06 1.72 2.21 1.98 0.06 2.98 0.17 1.36 2.61 1.35 1.56 2.24 1.00 1.39 0.81 1.11 1.75 2.23 2.02 0.06 3.01 0.20 1.40 2.72 1.37 1.63 2.33 1.07 1.41 0.83 1.16 1.78 2.26 2.06 0.07 3.04 24.96 30.41 41.59 35.29 34.55 42.20 41.78 20.84 51.71 32.25 43.94 46.62 35.87 41.88 42.18 0.17 1.34 2.59 1.35 1.53 2.24 0.99 1.38 0.81 1.09 1.75 2.23 2.01 0.06 3.01 0.17 1.36 2.56 1.35 1.59 2.23 1.01 1.39 0.80 1.12 1.72 2.24 2.02 0.06 3.02 0.16 1.34 2.50 1.36 1.64 2.24 1.02 1.40 0.74 1.18 1.73 2.18 2.03 0.06 3.02 Vol 15,019,500 4,541,000 703,300 1,194,300 15,200 29,100 5,200 15,000 1,114,100 10,000 8,100 45,700 86,000 10,802,600 3,100 20-day avg vol 520,835 2,873,405 797,875 2,211,255 4,390 12,305 16,215 3,495 1,010,615 750 10,015 29,895 17,350 6,603,010 8,275 16 17 18 19 20 Raw data sourced from Bloomberg Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 2 of 2
  23. Wednesday , 22 March, 2017 For Internal Circulation Only TA RESEARCH’S ‘DAILY COMPILED FOREIGN TECHNICAL REPORTS’ Asian Technical Reports 1. Foreign Technical Stock Watch (AUS) 2. Foreign Technical Stock Watch (HK) 3. Foreign Technical Stock Watch (FSSTI) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research
  24. TA Securities T e c h n i c a l V i e w Wednesday , March 22, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Foreign Technical Stock Watch Australia ASX: 5,774.62 (-4.29, -0.07%) THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Name ASX 200 BHP BILLITON RIO TINTO COMMONW BK AUSTR WESTPAC BANKING AUST AND NZ BANK NATL AUST BANK WESFARMERS WOODSIDE PETRO NEWCREST MINING WESTFIELD GROUP FORTESCUE METALS QBE INSURANCE ORIGIN ENERGY AMP SANTOS MACQUARIE GROUP SUNCORP GROUP ORICA OIL SEARCH COCA-COLA AMATIL AMCOR STOCKLAND ALUMINA COMPUTERSHARE QANTAS AIRWAYS SIMS METAL MGMT Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my Close Bollinger Bands RSI Moving Averages DMI Change High Low 21-Mar Lower Mid Upper 14d 10d 30d 50d DI + DI - ADX Diff 5774.62 -4.29 5779.30 5760.20 5705.31 5759.50 5813.69 54.42 5770.59 5758.66 5726.80 25.40 16.81 20.38 8.59 24.64 61.60 84.42 34.32 31.57 32.22 43.92 31.23 22.14 8.54 6.62 12.92 6.65 4.99 3.71 88.60 13.15 17.91 6.93 10.46 14.62 4.51 1.79 13.88 3.84 12.73 -0.24 -0.79 -0.01 -0.24 0.16 -0.02 0.12 -0.14 -0.02 -0.03 -0.08 0.01 0.04 -0.02 0.02 0.03 -0.11 0.15 0.01 0.17 0.05 0.00 -0.04 -0.05 0.03 -0.02 24.96 62.45 84.42 34.55 31.61 32.31 43.98 31.38 22.55 8.60 6.74 12.93 6.71 4.99 3.73 88.76 13.17 18.00 6.94 10.51 14.65 4.54 1.84 14.00 3.85 12.85 24.57 61.46 83.89 34.20 31.18 32.07 43.35 31.10 22.02 8.50 6.54 12.77 6.58 4.94 3.67 87.69 13.02 17.64 6.85 10.28 14.42 4.48 1.78 13.75 3.78 12.65 23.43 57.53 82.21 33.56 30.66 31.59 42.36 30.52 20.43 8.39 6.08 12.20 6.18 4.81 3.45 85.87 13.12 17.29 6.72 10.16 14.01 4.42 1.76 13.41 3.62 12.20 24.93 62.05 83.74 34.41 31.40 32.37 43.49 31.19 21.97 8.69 6.54 12.69 6.54 4.97 3.72 87.80 13.32 18.39 6.99 10.39 14.32 4.62 1.87 13.82 3.76 12.69 26.43 66.58 85.26 35.25 32.14 33.16 44.61 31.85 23.51 8.99 7.00 13.19 6.89 5.12 3.98 89.72 13.53 19.49 7.25 10.63 14.64 4.82 1.99 14.22 3.89 13.17 44.70 45.96 55.49 53.47 58.83 52.59 59.39 49.07 53.05 38.34 52.03 55.81 49.94 47.98 47.01 58.03 42.29 43.01 47.38 57.42 57.47 44.53 38.51 58.63 64.95 54.06 24.41 60.91 84.30 34.74 31.71 32.61 44.00 31.13 21.70 8.57 6.46 12.84 6.54 5.00 3.63 88.56 13.32 17.97 6.90 10.40 14.39 4.54 1.83 13.96 3.80 12.58 25.39 63.90 83.82 34.00 30.92 32.01 43.05 31.34 22.27 8.81 6.63 12.65 6.72 5.04 3.79 87.23 13.35 18.43 7.01 10.26 14.47 4.59 1.90 13.64 3.65 12.51 MACD DMI MACD DMI MACD Line Signal Diff Recent Signal Signal Change 16.29 16.46 (0.164) BUY SELL SELL 25.88 30.02 35.26 15.05 (5.24) -0.38 -0.42 0.039 SELL BUY 64.09 26.87 34.73 22.08 (7.86) -0.86 -1.02 0.156 SELL BUY 83.38 22.76 18.43 13.25 4.34 0.39 0.34 0.047 BUY BUY 33.34 23.18 22.94 22.58 0.24 0.37 0.45 (0.085) BUY SELL 30.50 22.00 17.12 27.32 4.88 0.36 0.41 (0.051) BUY SELL 0.27 0.38 (0.113) SELL SELL 31.47 20.67 21.72 27.20 (1.05) 42.30 21.90 17.56 27.12 4.34 0.50 0.52 (0.022) BUY SELL 31.59 17.64 23.97 20.38 (6.33) -0.08 -0.13 0.054 SELL BUY 22.08 28.61 24.96 13.91 3.65 -0.04 -0.09 0.052 BUY BUY 8.90 13.87 27.38 29.82 (13.52) -0.11 -0.11 (0.000) SELL SELL 6.54 24.43 26.13 14.75 (1.70) 0.00 -0.02 0.025 SELL BUY SELL 12.53 31.71 21.74 17.99 9.97 0.12 0.11 0.018 BUY BUY 6.89 32.00 25.70 18.15 6.30 -0.06 -0.11 0.043 BUY BUY 5.06 18.25 24.36 15.10 (6.10) -0.01 -0.02 0.007 SELL BUY 3.89 21.57 26.33 26.33 (4.77) -0.07 -0.08 0.017 SELL BUY 86.30 20.28 19.45 13.91 0.83 0.73 0.72 0.012 BUY BUY 13.33 17.62 29.25 11.80 (11.63) -0.02 0.00 (0.022) SELL SELL 18.48 17.89 30.55 21.10 (12.67) -0.20 -0.11 (0.089) SELL SELL 7.05 16.11 25.90 19.75 (9.79) -0.04 -0.04 (0.003) SELL SELL 10.11 30.77 20.65 17.44 10.12 0.08 0.10 (0.019) BUY SELL 14.52 22.18 22.25 14.16 (0.07) 0.00 -0.05 0.051 SELL BUY 4.51 15.67 20.00 19.86 (4.33) -0.01 0.01 (0.024) SELL SELL 1.89 22.36 27.07 14.97 (4.71) -0.02 -0.01 (0.010) SELL SELL 13.24 21.81 13.10 30.10 8.70 0.20 0.24 (0.036) BUY SELL 3.56 24.87 16.94 27.92 7.93 0.08 0.09 (0.005) BUY SELL 12.31 26.28 16.82 23.76 9.46 0.09 0.10 (0.010) BUY SELL - The table below consists of the top 30 ASX 200 Index component stocks, weighted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. Stock names and technical statistics in bold highlight stocks that have changes in BUY/SELL signals on the DMI and MACD on the given date. Page 1 of 3
  25. TA Securities A Member of the TA Group Corporate News : Westpac Banking Corp. may rely on savings from its efficiency program to counter a potential margin squeeze and slowing mortgages in the fiscal year ending September. It aims to trim expense-to-income ratio to less than 40% in three years, and has cut costs by AUD1.8bn from fiscal 2009. – Bloomberg. Technical Comments: Any further weakness on Westpac Banking Corp. shares towards the 50%FR (AUD33.71) or lower Bollinger band (AUD33.56) should be cushioned by buying support, while a convincing recovery above the 61.8%FR (AUD35.16) should aim for the 76.4%FR (AUD36.95) ahead. WESTPAC Upper Middle Lower Recent Signal Signal Change BOLLINGER BANDS AUD AUD AUD DMI AUD34.32 (-0.24) 35.25 34.41 33.56 BUY SIMPLE MOVING AVERAGES AUD 34.74 AUD 34.00 AUD 33.34 DAILY MACD Recent Signal SELL Signal Change 10-day 30-day 50-day Page 2 of 3
  26. TA Securities A Member of the TA Group INTERPRETATION OF TECHNICAL INDICATORS : Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average and negative if it remains below. A longer-term uptrend is intact if share price sustain above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Fundamentals of Foreign Technical Picks Bloomberg Ticker Stock Name BHP AU BHP BILLITON LTD RIO AU RIO TINTO LTD CBA AU COMMONW BK AUSTR WBC AU WESTPAC BANKING ANZ AU AUST AND NZ BANK NAB AU NATL AUST BANK WES AU WESFARMERS LTD WPL AU WOODSIDE PETRO NCM AU NEWCREST MINING WFD AU WESTFIELD GROUP FMG AU FORTESCUE METALS QBE AU QBE INSURANCE ORG AU ORIGIN ENERGY AMP AU AMP LTD STO AU SANTOS LTD MQG AU MACQUARIE GROUP SUN AU SUNCORP GROUP LT ORI AU ORICA LTD OSH AU OIL SEARCH LTD CCL AU COCA-COLA AMATIL AMC AU AMCOR LTD SGP AU STOCKLAND AWC AU ALUMINA LTD CPU AU COMPUTERSHARE LT QAN AU QANTAS AIRWAYS SGM AU SIMS METAL MGMT EPS ($) PER(x) Div Yield(%) 52week Price % Chg Close Target Price % upside 24.64 28.37 13% 61.60 71.60 14% 4.41 3.21 10.8 14.8 4.263 3.195 69.80 41.51 2.84 84.42 83.80 -1% 5.64 5.81 15.0 14.5 5.020 5.134 86.09 69.22 2.44 34.32 34.01 -1% 2.41 2.49 14.2 13.8 5.428 5.411 35.26 27.57 5.28 31.57 30.79 -3% 2.39 2.42 13.2 13.1 5.116 5.169 32.05 22.06 3.78 32.22 32.33 0% 2.40 2.45 13.4 13.1 6.061 5.931 33.28 23.90 5.05 43.92 43.35 -1% 2.61 2.64 16.8 16.7 5.027 5.100 46.06 38.62 4.22 31.23 33.23 6% 1.31 1.49 18.4 16.2 3.231 3.682 32.59 23.82 0.22 22.14 22.94 3% 0.74 0.93 23.0 18.4 0.777 1.129 27.20 15.88 9.33 8.54 9.37 9% 0.33 0.36 20.0 18.4 3.009 3.056 11.14 8.21 -8.96 12.39 2017 2018 2017 2018 2017 2018 High Low YTD 1.47 1.23 13.0 15.5 3.360 2.910 27.96 15.85 -1.68 6.62 6.72 1% 0.84 0.49 6.1 10.4 4.955 3.021 7.27 2.47 12.92 13.66 5% 0.64 0.80 15.6 12.4 3.297 3.878 13.28 9.22 4.03 6.65 7.36 10% 0.32 0.55 20.7 12.0 0.000 1.323 7.47 4.42 0.91 4.99 5.31 6% 0.36 0.37 14.0 13.4 5.812 6.072 5.96 4.39 -0.99 3.71 4.42 16% 0.14 0.20 20.0 14.7 0.970 2.075 5.07 3.30 -7.71 88.60 88.37 0% 6.12 6.36 14.5 13.9 4.796 5.006 89.88 61.05 1.70 13.15 13.90 5% 0.91 0.98 14.4 13.5 5.567 5.970 13.95 11.27 -2.74 17.91 16.66 -8% 1.05 1.13 17.1 15.8 2.970 3.227 19.49 12.04 1.30 6.93 7.98 13% 0.21 0.26 25.5 20.7 1.212 1.544 7.75 5.98 -3.35 10.46 9.92 -5% 0.57 0.59 18.3 17.6 4.589 4.713 10.70 7.94 3.36 14.62 15.90 8% 0.61 0.65 18.6 17.4 2.927 3.269 16.66 13.62 -2.21 4.51 4.82 7% 0.31 0.33 14.4 13.7 5.698 5.920 5.11 4.03 -1.53 1.79 1.87 5% 0.11 0.10 13.0 14.5 5.770 5.770 2.04 1.19 -2.46 13.88 13.19 -5% 0.55 0.60 19.6 17.7 1.916 2.024 14.28 8.63 11.40 3.84 4.34 11% 0.53 0.53 7.30 7.22 3.802 4.635 4.22 2.58 15.32 12.73 12.54 -2% 0.63 0.71 20.3 17.9 3.009 3.095 13.62 7.40 -0.78 Note : The above data is based on Bloomberg consensus. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 3 of 3
  27. T e c h n i c a l TA Securities V i e w Wednesday , March 22, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Foreign Technical Stock Watch Hong Kong HSI: 24,593.12 (+91.13, +0.37%) THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Stock Close Name 21-Mar HANG SENG 24,593.12 HSBC CH MOBILE CCONB ICBC CNOOC CH LIFE BOC SHK PROP PETRO CH TENCENT HKSE CK HUTCHISON PING AN SINOPEC CORP CH SHENHUA CLP LI & FUNG BOC HK HS BANK HK&CH GAS SWIRE HL PROP WHARF CH OV LAND POWER ASSETS BELLE HENDERSON BOCOMM CH COAL CH UNICOM BK EASIA ESPRIT MTR SINO LAND CH RES NEW WORLD CH RES LAND CH MERCHANT CH RES POWER ALCORP CATHAY CITIC COSCO FIH MOBILE LTD GENHK AIA SANDS CHINA GALAXY 63.70 90.35 6.50 5.22 9.09 25.20 3.99 115.10 5.90 228.80 199.70 96.95 44.20 6.11 18.90 80.50 3.81 32.15 160.00 15.14 77.75 20.75 68.50 24.80 68.10 5.24 47.50 6.19 4.19 10.18 32.05 6.82 43.30 13.94 18.66 9.97 22.40 22.00 15.04 3.92 11.36 11.52 8.69 3.11 2.40 50.15 35.30 41.45 Change High Tel: +603-2167 9607 Lower 91.13 0.20 0.00 0.05 0.03 0.01 0.00 0.02 0.30 0.03 0.60 (0.70) (0.05) 0.80 0.10 (0.24) 0.35 (0.02) 0.00 0.70 (0.04) (0.20) 0.25 0.00 0.30 (0.15) 0.00 0.60 (0.01) 0.01 (0.02) 0.00 (0.17) 0.35 0.36 0.90 0.09 0.40 0.15 0.12 (0.02) 0.16 0.18 (0.01) (0.01) (0.06) 0.25 (0.35) (0.15) 24,656.65 24,500.35 64.00 91.30 6.55 5.27 9.15 25.45 4.05 115.50 5.92 229.80 200.80 97.25 44.40 6.14 19.14 80.50 3.83 32.40 160.20 15.22 78.30 20.80 68.85 24.90 68.40 5.26 47.60 6.27 4.24 10.36 32.45 7.00 43.50 14.02 18.90 9.98 22.55 22.05 15.10 3.97 11.48 11.54 8.79 3.15 2.46 51.00 35.80 41.65 63.35 89.65 6.44 5.18 9.04 25.15 3.97 114.20 5.82 223.80 198.60 96.55 43.50 6.03 18.84 79.75 3.72 32.10 158.80 15.08 77.35 20.40 67.60 24.45 67.90 5.14 46.60 6.17 4.15 10.12 31.95 6.82 42.80 13.54 17.40 9.82 21.95 21.80 14.84 3.88 11.16 11.38 8.52 3.11 2.40 50.15 35.05 40.80 RSI Bollinger Bands Low 23,291.87 62.23 82.38 6.04 4.88 8.75 22.90 3.74 111.55 5.59 201.16 187.64 93.46 40.48 5.76 14.61 76.82 3.36 30.47 156.09 14.82 77.55 19.22 58.64 23.17 66.92 5.13 44.25 5.93 3.82 9.00 31.30 6.49 40.64 12.91 17.27 9.70 20.10 21.14 13.87 3.81 11.05 10.83 8.33 2.93 2.30 48.25 31.43 35.91 Mid stsoo@ta.com.my Upper 14d 23,913.96 24,536.05 71.38 63.55 85.92 6.31 5.07 9.11 24.09 3.91 113.66 5.88 213.92 194.61 95.81 42.07 5.99 16.43 78.81 3.61 31.37 159.52 15.02 79.63 19.93 64.62 24.25 68.64 5.32 45.57 6.14 4.06 9.61 32.21 6.99 41.81 13.40 17.79 9.99 21.44 21.59 14.35 4.04 11.45 11.19 8.51 3.13 2.40 49.34 33.61 38.75 64.86 89.46 6.58 5.26 9.46 25.27 4.07 115.76 6.17 226.68 201.57 98.16 43.65 6.22 18.25 80.80 3.85 32.26 162.94 15.21 81.70 20.63 70.59 25.32 70.35 5.51 46.89 6.35 4.30 10.22 33.12 7.49 42.97 13.89 18.31 10.27 22.78 22.03 14.83 4.28 11.86 11.54 8.69 3.33 2.49 50.42 35.80 41.58 46.39 70.42 65.74 64.24 44.14 70.98 62.07 64.29 50.26 77.80 63.41 65.68 78.54 57.20 73.87 65.36 68.50 66.71 53.17 58.64 39.29 69.73 77.72 58.90 44.44 50.49 77.53 58.18 58.80 72.61 47.15 52.62 74.86 68.74 71.77 58.67 62.21 61.45 70.12 45.70 51.73 58.87 61.67 54.80 51.35 61.33 66.90 74.09 Moving Averages 10d 23,999.63 63.63 85.99 6.30 5.08 8.98 24.29 3.90 113.56 5.79 217.88 194.48 96.45 42.40 5.94 16.60 78.74 3.69 31.61 158.92 15.02 78.84 20.18 67.06 24.63 67.89 5.28 45.92 6.10 4.00 9.81 31.92 6.91 42.21 13.35 17.78 9.90 21.75 21.58 14.42 3.99 11.44 11.16 8.51 3.18 2.44 49.50 34.50 39.66 30d www.taonline.com.my DMI 50d DI + DMI MACD DI - ADX Diff Line Signal Diff MACD Recent Signal DMI MACD Signal Change 23,884.15 23,541.35 42.63 13.70 31.36 28.93 219.32 153.11 66.210 BUY BUY - - 64.78 86.51 6.25 5.04 9.25 24.11 3.89 112.03 5.95 211.71 195.99 94.67 42.03 6.03 16.38 78.45 3.55 31.36 160.47 14.98 79.76 19.83 62.63 24.18 69.25 5.28 45.01 6.12 4.08 9.55 32.66 6.68 41.32 13.18 17.63 9.76 21.38 21.65 14.24 4.09 11.35 11.35 8.51 3.05 2.38 48.86 33.14 37.89 64.86 86.48 6.08 4.92 9.47 23.09 3.74 109.75 6.04 207.42 192.29 93.46 41.28 6.06 16.27 77.31 3.50 30.87 157.99 14.80 79.13 19.30 60.72 23.57 68.74 5.07 44.17 5.96 4.03 9.34 32.47 6.44 40.43 13.01 16.74 9.43 20.43 21.23 13.85 3.94 11.03 11.37 8.22 2.84 2.35 48.18 33.68 37.04 26.24 13.42 13.52 13.52 23.43 11.64 14.43 12.50 25.85 12.87 13.40 15.11 10.58 18.24 10.48 16.17 14.04 12.93 18.85 12.04 17.65 12.18 11.30 19.81 18.17 25.20 10.42 17.24 18.26 8.68 15.55 13.43 5.31 14.61 13.61 18.33 17.31 15.69 9.17 19.84 21.56 12.73 10.42 10.56 19.49 14.71 11.94 9.30 15.20 32.14 23.19 26.54 27.71 32.26 29.33 37.94 22.92 21.13 20.60 28.25 29.10 13.55 23.65 36.61 19.70 19.44 19.49 22.86 16.11 30.08 42.90 30.08 18.82 29.45 32.84 16.00 15.02 34.50 15.92 39.68 54.84 29.14 22.24 30.79 28.76 12.20 32.83 21.23 27.27 25.52 20.25 49.09 45.38 28.98 29.29 33.75 2.62 22.50 17.34 22.76 (2.18) 25.92 17.67 16.47 (2.31) 27.10 16.53 10.81 29.70 8.34 40.03 19.71 15.67 13.96 3.89 11.00 (0.43) 17.37 24.34 7.11 1.28 (2.67) 20.90 11.97 12.54 29.23 7.36 14.56 30.88 18.64 17.73 5.08 14.14 3.98 20.08 6.82 (2.24) 10.26 13.02 7.12 25.14 20.55 20.84 24.90 -0.36 0.40 0.09 0.06 -0.13 0.46 0.05 1.36 -0.06 4.98 1.12 1.04 0.53 -0.02 0.39 0.61 0.09 0.33 0.20 0.09 -0.29 0.33 2.52 0.38 -0.33 0.06 0.74 0.04 0.00 0.21 -0.19 0.13 0.66 0.17 0.31 0.13 0.50 0.15 0.23 0.00 0.08 -0.03 0.08 0.09 0.03 0.47 0.56 1.16 0.083 0.594 0.015 0.013 0.031 0.098 0.003 (0.064) 0.012 1.547 0.671 0.008 0.211 0.013 0.296 0.068 0.025 0.072 (0.116) 0.000 (0.301) 0.041 0.351 0.034 (0.072) (0.021) 0.132 0.000 0.014 0.076 (0.004) (0.047) 0.088 0.020 (0.002) (0.047) 0.083 0.018 0.032 (0.026) (0.067) 0.052 (0.001) (0.026) 0.002 (0.003) 0.263 0.241 BUY BUY BUY BUY SELL BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY SELL BUY BUY BUY SELL SELL BUY BUY BUY BUY SELL SELL BUY BUY SELL SELL BUY BUY BUY SELL SELL BUY SELL SELL BUY SELL BUY BUY BUY - BUY BUY BUY BUY - 28.86 35.92 30.86 36.29 21.25 37.56 32.10 28.97 23.55 39.97 29.93 25.92 40.28 26.58 50.51 35.88 29.71 26.89 22.74 23.04 17.21 29.55 35.63 26.92 19.46 22.53 31.31 29.21 30.80 37.90 22.91 27.99 36.19 33.25 31.34 23.41 31.46 19.67 29.25 26.66 19.31 23.00 23.44 17.68 44.63 35.26 32.78 34.19 -0.44 -0.19 0.08 0.05 -0.16 0.36 0.05 1.42 -0.07 3.43 0.45 1.03 0.32 -0.03 0.10 0.54 0.06 0.26 0.32 0.09 0.02 0.29 2.17 0.34 -0.26 0.08 0.60 0.04 -0.01 0.13 -0.18 0.17 0.57 0.16 0.31 0.17 0.42 0.13 0.20 0.02 0.14 -0.08 0.08 0.11 0.03 0.47 0.30 0.92 The table above consists of the 45 HKSE Hang Seng Index component stocks, sorted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. Stock names and technical statistics in bold highlight stocks that have changes in BUY/SELL signals on the DMI and MACD on the given date. Page 1 of 2
  28. TA Securities A Member of the TA Group INTERPRETATION OF TECHNICAL INDICATORS : Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average and negative if it remains below. A longer-term uptrend is intact if share price sustain above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Fundamentals of Foreign Technical Picks Bloomberg Ticker 5 941 939 1398 883 2628 3988 16 857 700 388 1 2318 386 1088 2 494 2388 11 3 19 101 4 688 6 1880 12 3328 1898 762 23 330 66 83 291 17 1109 144 836 2600 293 267 1199 2038 678 1299 1928 27 HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK EPS ($) PER(x) Stock Name Close Target Price % upside HSBC CH MOBILE CCONB ICBC CNOOC CH LIFE BOC SHK PROP PETRO CH TENCENT HKSE CK HUTCHISON PING AN SINOPEC CORP CH SHENHUA CLP LI & FUNG BOC HK HS BANK HK&CH GAS SWIRE HL PROP WHARF CH OV LAND POWER ASSETS BELLE HENDERSON BOCOMM CH COAL CH UNICOM BK EASIA ESPRIT MTR SINO LAND CH RES NEW WORLD CH RES LAND CH MERCHANT CH RES POWER ALCORP CATHAY CITIC COSCO FIH MOBILE LTD GENHK AIA SANDS CHINA LTD GALAXY 63.70 64.29 1% 90.35 109.17 17% 6.50 7.32 11% 5.22 6.02 13% 0.8 0.8 9.09 11.14 18% 0.0 0.6 25.20 27.50 8% 0.7 0.9 33.7 Div Yield(%) 52week Price % Chg 2017 2018 2017 2018 2017 2018 High Low YTD 0.6 0.7 13.7 12.4 0.8 0.8 69.10 44.50 2.33 5.3 5.7 15.1 14.0 2.6 2.9 99.30 80.30 9.91 0.9 0.9 6.3 6.2 4.2 4.3 6.55 4.50 8.88 6.0 5.9 4.4 4.5 5.27 3.82 12.26 N/A 13.6 2.9 3.5 10.88 8.46 -6.29 24.9 1.0 1.2 25.50 16.00 24.75 3.99 4.39 9% 0.6 0.6 6.2 6.1 4.3 4.4 4.08 2.90 15.99 115.10 129.67 11% 8.8 9.5 13.1 12.1 3.5 3.6 123.30 85.40 17.45 5.90 7.15 17% 0.0 0.3 106.9 18.1 0.6 2.2 6.38 4.76 2.08 228.80 241.42 5% 4.8 6.1 42.5 33.4 0.2 0.3 229.80 152.20 20.61 199.70 193.21 -3% 5.6 6.1 35.8 32.5 2.5 2.8 213.20 175.00 9.01 96.95 113.86 15% 8.2 8.9 11.8 10.9 2.8 3.0 103.90 80.60 10.30 44.20 55.58 20% 3.4 3.5 11.4 11.2 1.2 1.4 44.40 32.50 13.92 6.11 7.13 14% 0.3 0.4 16.3 12.8 2.9 3.6 6.34 4.66 11.09 18.90 19.00 1% 1.5 1.5 11.1 11.3 3.0 3.0 19.78 11.40 29.45 80.50 79.08 -2% 5.0 5.2 16.0 15.5 3.6 3.7 84.35 68.70 12.98 3.34 -14% 0.0 0.0 14.4 13.6 0.8 0.8 3.24 11.73 32.15 34.37 6% 2.2 2.5 14.5 12.8 5.5 4.0 32.40 21.01 15.86 160.00 3.81 155.88 -3% 9.3 10.2 17.2 15.7 3.9 4.2 164.40 5.15 127.60 10.88 15.14 13.00 -16% 0.6 0.6 25.4 24.3 2.5 2.6 15.50 12.73 10.19 77.75 78.15 1% 4.8 5.1 16.1 15.2 3.4 3.7 94.40 72.20 5.00 20.75 19.34 -7% 1.2 1.1 17.4 19.1 3.6 3.6 20.80 13.64 26.22 68.50 64.32 -7% 4.6 4.8 14.9 14.2 3.2 3.3 69.95 39.00 32.88 24.80 29.00 14% 3.1 3.5 7.9 7.2 3.0 3.4 27.85 20.15 20.68 68.10 76.42 11% 3.5 3.6 19.3 19.0 4.0 4.1 62.78 6.57 5.24 5.00 -5% 0.4 0.4 11.6 11.6 4.7 4.7 5.79 4.07 20.18 47.50 45.93 -3% 3.9 3.1 12.1 15.3 3.1 3.1 48.20 75.73 39.64 15.15 6.19 5.88 -5% 0.9 0.9 6.2 6.2 4.2 4.2 6.44 4.46 10.34 4.19 4.47 6% 0.1 0.3 26.8 14.4 0.5 1.5 4.88 2.92 13.86 10.18 11.65 13% 0.2 0.4 40.3 22.3 0.8 1.5 10.48 7.70 12.74 32.05 25.31 -27% 2.1 1.7 15.6 18.4 2.9 2.5 34.75 26.35 7.91 6.82 6.11 -12% 0.0 0.2 N/A 42.4 0.0 1.1 7.62 5.34 11.99 43.30 39.33 -10% 1.6 1.6 27.4 26.6 7.6 2.6 44.50 34.92 14.85 13.94 13.64 -2% 0.8 0.8 16.6 16.8 3.7 3.7 14.48 10.96 19.97 18.66 19.00 2% 0.7 0.8 27.9 24.4 0.9 1.2 18.90 12.85 21.17 9.97 11.22 11% 0.8 0.8 12.8 12.0 4.4 4.4 10.46 6.91 21.59 22.40 27.69 19% 2.4 2.8 9.4 8.1 2.9 3.4 23.85 16.50 28.44 22.00 23.35 6% 1.4 1.6 15.8 13.8 3.1 3.4 24.95 18.80 14.35 15.04 14.38 -5% 1.9 1.4 8.1 10.5 5.4 5.2 15.50 10.70 22.08 3.92 4.40 11% 0.0 0.2 124.3 19.5 0.0 0.2 4.45 2.25 22.50 11.36 9.97 -14% -0.1 0.2 N/A 48.1 0.5 0.7 13.94 10.00 11.37 11.52 12.25 6% 1.4 1.5 8.0 7.5 2.9 2.9 12.78 10.54 3.78 8.69 9.09 4% 0.1 0.1 14.5 13.8 1.1 0.4 9.48 7.28 11.55 3.11 3.15 1% 0.0 0.0 20.0 18.2 0.4 0.4 3.38 2.31 26.94 2.40 2.45 2% 0.0 0.0 N/A N/A 0.0 0.0 3.00 2.00 6.19 50.15 56.69 12% 0.4 0.4 17.6 15.8 0.2 0.3 54.15 41.50 14.63 35.30 37.66 6% 0.2 0.2 23.0 20.9 0.7 0.7 39.30 24.60 4.75 41.45 42.38 2% 1.6 1.7 26.0 24.0 1.2 1.3 41.75 21.87 22.63 Note : The above data based on Bloomberg consensus. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 2 of 2
  29. T e c h n i c a l TA Securities V i e w Wednesday , March 22, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 • Foreign Technical Stock Watch FSSTI: 3,158.57 (-7.13, -0.23%) Singapore THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Stock Name FSSTI SINGTEL DBS OCBC UOB JARDINE M. WILMAR HK LAND CAPLAND GENSP KEPPEL SGX SIA FNN NOBLE CITY DEV JARDINE S. SG PRESS JARDINE C&C GOLDEN AGRI SG TECH OLAM INT CAP TRUST SEMBCORP SEMCORP M. CMFT DELGRO STARHUB SIA ENG IFOOD AGRI YZJ Close Change 21-Mar 3,158.57 (7.13) 3.94 19.00 9.62 21.80 66.75 3.55 7.26 3.73 1.00 6.83 7.59 10.04 2.11 0.19 10.45 39.89 3.58 45.35 0.39 3.67 1.91 1.95 3.19 1.89 2.51 2.89 3.71 0.53 1.13 (0.06) (0.01) (0.01) (0.06) (0.25) (0.04) 0.05 0.01 0.01 (0.02) (0.03) 0.04 (0.02) (0.01) (0.09) 0.14 0.03 0.00 0.00 (0.01) 0.01 0.02 (0.02) (0.01) 0.00 (0.02) 0.00 (0.01) 0.01 Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my High Low Bollinger Bands Lower Mid Upper 3,172.63 3,156.77 3,096.79 3,134.91 3,173.03 RSI 14d 61.48 Moving Averages 10d 30d 50d 3,148.26 3,120.43 3,084.72 DI + 30.69 DI 19.91 ADX 29.39 Diff 10.78 Line 23.20 MACD Signal Diff 23.40 (0.201) DMI MACD Recent Signal BUY SELL DMI MACD Signal Change SELL 4.00 19.15 9.68 22.04 66.79 3.60 7.35 3.75 1.00 6.94 7.65 10.04 2.12 0.20 10.57 39.98 3.60 45.55 0.39 3.68 1.93 1.96 3.24 1.91 2.52 2.93 3.72 0.54 1.14 3.94 19.00 9.59 21.80 66.19 3.55 7.25 3.72 0.99 6.80 7.58 9.96 2.11 0.19 10.42 39.59 3.57 44.92 0.38 3.64 1.90 1.94 3.18 1.88 2.50 2.88 3.69 0.53 1.12 50.67 53.46 56.12 61.18 63.98 36.17 67.20 64.96 55.89 53.78 54.29 58.67 50.79 39.06 66.03 59.86 64.35 63.42 44.47 56.59 33.68 51.87 48.33 60.21 53.78 53.84 60.51 46.67 65.04 3.96 19.09 9.60 21.64 65.75 3.60 7.10 3.68 1.00 6.80 7.56 9.98 2.11 0.21 10.26 39.53 3.51 44.51 0.38 3.67 1.94 1.93 3.21 1.90 2.51 2.86 3.70 0.53 1.12 20.11 26.05 22.85 29.17 27.71 15.53 32.67 31.06 20.06 32.20 24.86 18.23 12.57 17.43 35.75 23.08 29.98 28.69 13.33 24.96 12.00 15.18 25.77 36.07 16.86 23.37 15.31 21.03 33.74 17.01 21.78 19.01 11.64 15.16 25.39 9.59 14.42 14.41 25.31 15.81 14.63 11.49 27.29 11.87 13.63 7.16 19.91 17.56 15.51 25.01 13.69 19.56 16.99 19.55 18.98 6.96 19.04 12.05 17.07 17.35 12.44 25.46 31.75 26.80 31.42 41.66 21.68 31.28 15.60 14.90 11.75 22.15 45.26 28.05 28.53 15.39 27.59 24.90 32.15 14.75 26.87 41.31 11.67 14.37 35.81 14.67 46.76 3.10 4.27 3.83 17.53 12.55 (9.86) 23.08 16.64 5.65 6.89 9.05 3.60 1.08 (9.86) 23.88 9.45 22.82 8.79 (4.23) 9.45 (13.01) 1.49 6.21 19.08 (2.69) 4.39 8.35 1.99 21.69 0.02 0.12 0.04 0.18 0.97 -0.05 0.11 0.07 0.01 0.07 0.02 0.03 0.00 0.00 0.33 0.50 0.01 0.85 -0.01 0.05 -0.04 -0.01 0.01 0.08 0.02 0.00 0.03 0.00 0.06 0.02 0.14 0.04 0.17 0.97 -0.06 0.08 0.08 0.01 0.11 0.02 0.02 0.00 0.00 0.27 0.53 0.00 0.71 -0.01 0.06 -0.03 -0.01 0.02 0.09 0.02 0.00 0.03 0.00 0.06 BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY SELL BUY SELL BUY BUY BUY SELL BUY BUY BUY BUY BUY - 3.88 18.70 9.43 21.32 62.03 3.53 6.68 3.53 0.97 6.57 7.40 9.86 2.05 0.18 9.04 37.21 3.43 40.49 0.37 3.62 1.86 1.91 3.13 1.65 2.42 2.79 3.66 0.51 0.90 3.95 19.00 9.57 21.63 64.91 3.63 6.99 3.65 0.99 6.91 7.54 9.95 2.10 0.22 9.91 39.11 3.50 43.61 0.38 3.68 1.99 1.95 3.24 1.88 2.49 2.86 3.69 0.52 1.06 4.01 19.29 9.71 21.94 67.80 3.72 7.29 3.76 1.02 7.24 7.68 10.04 2.15 0.25 10.78 41.00 3.56 46.73 0.40 3.73 2.11 1.98 3.34 2.10 2.57 2.93 3.73 0.54 1.23 3.95 18.87 9.57 21.40 64.53 3.72 6.93 3.59 0.99 6.76 7.56 9.92 2.11 0.22 9.73 38.87 3.49 43.14 0.40 3.61 2.01 1.95 3.21 1.75 2.48 2.84 3.68 0.53 1.01 3.90 18.74 9.50 21.18 63.02 3.77 6.87 3.45 0.97 6.53 7.51 9.91 2.11 0.20 9.46 38.19 3.51 42.47 0.41 3.50 2.01 1.96 3.18 1.65 2.47 2.90 3.60 0.54 0.94 DMI (0.001) (0.021) 0.004 0.009 0.007 0.001 0.025 (0.002) (0.001) (0.039) 0.009 0.007 0.005 (0.005) 0.056 (0.033) 0.012 0.146 0.002 (0.010) (0.010) 0.000 (0.011) (0.016) 0.002 0.006 (0.005) 0.001 (0.002) SELL SELL BUY BUY BUY BUY BUY SELL SELL SELL BUY BUY BUY SELL BUY SELL BUY BUY BUY SELL SELL BUY SELL SELL BUY BUY SELL BUY SELL SELL BUY BUY - The table above consists of the revamped 30 SGX FTSE Straits Times Index component stocks, sorted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. Stock names and technical statistics in bold highlight stocks that have changes in BUY/SELL signals on the DMI and MACD on the given date. Page 1 of 2
  30. INTERPRETATION OF TECHNICAL INDICATORS : Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average and negative if it remains below. A longer-term uptrend is intact if share price sustain above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Fundamentals of Foreign Technical Picks Bloomberg Ticker ST DBS OCBC UOB JM WIL HKL CAPL GENS KEP SGX SIA FNN NOBL CIT JS SPH JCNC GGR STE OLAM CT SCI SMM CD STH SIE IFAR SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP EPS ($) PER(x) Div Yield(%) 52week Price % Chg Stock Name Close Target Price SINGTEL DBS OCBC UOB JARDINE M. WILMAR HK LAND CAPLAND GENSP KEPPEL SGX SIA FNN NOBLE CITY DEV JARDINE S. SG PRESS JARDINE C&C GOLDEN AGRI SG TECH OLAM INT CAP TRUST SEMBCORP SEMCORP M. CMFT DELGRO STARHUB SIA ENG IFOOD AGRI 3.94 4.25 19.00 9.62 21.80 21.18 -3% 1.9 2.1 11.3 10.5 3.3 3.4 22.04 17.41 6.86 66.75 64.57 -0.03 4.1 4.3 16.4 15.4 2.3 2.5 67.27 52.42 20.81 3.55 3.80 7% 0.2 0.2 12.8 11.9 2.0 2.2 4.00 2.96 -1.11 7.26 7.38 2% 0.4 0.4 18.4 17.9 2.7 2.7 7.35 5.77 14.69 3.73 4.01 7% 0.2 0.2 18.1 18.7 2.7 2.8 3.79 2.85 23.51 1.00 1.06 6% 0.0 0.0 28.6 25.6 2.9 3.0 1.04 0.69 10.50 6.83 6.69 -2% 0.5 0.6 13.3 12.3 3.2 3.4 7.23 5.10 17.96 6.01 YZJSGD SP YZJ % upside 2017 2018 2017 2018 2017 2018 High Low YTD 7% 0.2 0.3 16.2 15.3 4.5 4.7 4.36 3.59 7.95 19.44 2% 1.791 1.962 10.6 9.7 3.2 3.3 19.37 14.63 9.57 9.56 -1% 0.9 0.9 11.2 10.3 3.8 4.0 9.78 8.21 7.85 7.59 7.83 3% 0.3 0.4 22.7 21.0 3.9 4.2 8.05 6.96 10.04 9.71 -3% 0.4 0.4 22.5 23.1 3.5 2.7 11.67 9.60 3.83 2.11 2.03 -4% 0.1 0.1 28.5 28.1 2.0 2.1 2.23 1.92 0.96 0.19 0.22 0.13 0.0 0.0 9.1 6.2 0.0 0.0 0.37 0.11 12.35 10.45 10.70 2% 0.6 0.7 16.2 15.2 1.4 1.4 10.65 7.62 26.21 39.89 39.98 0% 2.7 2.9 14.8 13.8 0.8 0.8 40.56 27.35 20.15 3.58 3.20 -12% 0.2 0.2 23.2 23.2 4.8 4.7 4.13 3.45 1.42 45.35 49.97 9% 2.1 2.3 15.2 13.8 1.8 1.9 46.23 31.60 9.99 0.39 0.38 0% 0.0 0.0 17.2 15.3 1.8 1.8 0.45 0.33 -10.47 3.67 3.62 -1% 0.2 0.2 21.2 20.3 4.2 4.4 3.77 3.01 13.62 1.91 1.99 5% 0.1 0.1 14.3 14.3 2.4 2.4 2.17 1.58 -3.30 1.95 2.13 8% 0.1 0.1 17.1 16.7 5.6 5.6 2.25 1.87 3.45 3.19 3.45 7% 0.2 0.3 13.2 11.1 2.9 3.3 3.38 2.44 11.93 1.89 1.61 -18% 0.1 0.1 35.0 26.6 1.4 1.7 2.09 1.22 36.96 2.51 2.94 15% 0.2 0.2 16.0 15.4 4.4 4.8 3.02 2.37 1.62 2.89 2.64 -10% 0.2 0.2 18.0 18.8 5.5 5.5 3.97 2.73 2.85 3.71 3.55 -4% 0.2 0.2 24.1 23.9 4.1 4.0 3.91 3.35 10.09 0.53 0.58 9% 436 583 11.4 8.6 12299 17959 0.63 0.44 0.00 1.13 1.07 -5% 0.5 0.5 11.4 12.0 17.3 17.3 1.19 0.71 38.65 Note : The above data based on Bloomberg consensus. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 2 of 2