Oil Broke Out – How To Trade It And Using What?

31st May, 2022, 4:46 PM

Oil Broke Out – How To Trade It And Using What?

Oil has broke out after a long consolidation and it might head up to test the $130 level. It might not be heading up in a straight line with a re-test of the break out point of $118. With china opening up and usd weakening, these are some of the reason for oil to continue to march up. Now if you think that oil will be heading up in the next few weeks and even breaking above $130. What are some of the instruments you can be using to express this interest?

The most straight forward would probably be going long on the Oil cfd provided by poems as shown in the chart above. This would involve leverage and can be dangerous if not used properly. So do get yourself educated if you want to use cfd to express your interest in oil.

Another way would be to trade companies with oil exposure. A more indirect way. companies like REX and RH Petrol listed in Singapore. Or Petrol China (0857.HK) in Hong Kong. Halilburton (HAL), Exxon Mobil (XOM) are just some companies listed in the US exposed to oil.

So these are some ways to get your hands oily! =)

Yours

Humbly

Kelwin& Roy

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This Sector Looks Ready For A Bounce

30th May, 2022, 5:17 PM

This Sector Looks Ready For A Bounce

This sector as a whole hasn’t been performing well due to the rising rates and a possible slow down due to disruption. Our electronic sector as a whole hasn’t been doing well and has been on a steady decline. But could a rebound be in sight with an improving market sentiment?

UMS has broken above its 20ema which is a positive sign as its the rare few E stock to be above the 20ema. It is currently resisted by the downtrend which also coincides with the 50ema. If this breaks we might see it move higher to the possible resistance levels drawn. There is an increase in volume too. The key is to watch for the break first.

AEM also showing strength with an increase in volume today. It has broken above the short term downtrend line but is near the resistance of the 20ema and the horizontal resistance of around $4.50. Watching for a good clean break of these resistance for further upside!

Frencken also consolidating at the lower end and currently resisted by the downtrend line. There has been an increase in volume today also which is showing interest in Frencken. The next upside resistance is at the 20ema and also the horizontal resistance.

These are the three  Electronic stocks we’re closely watching for a rebound. Are You?

Yours

Humbly

Kelwin & Roy

 

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The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

29th May, 2022, 3:36 PM

The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

Markets especially in the West saw more of a rebound while Asia markets tried their best to remain positive for the week. S&P 500 managed to close above the 20ema which hasn’t happen for the last few months. In the fed minutes meeting this week , they continue to take an aggressive stance towards inflation but market has seem to be used to the idea of a rising interest rate and didn’t react much. Things are looking up for the week so do read on to find out more.

STI

STI saw weakness at the start of the week but managed to fight its way back to close flat for the week. Banks are shaping up in the market as DBS manages to stay above its 5ema. A positive for a short term rebound. STI is currently above the downtrend line which is a good sign so we might see it break above the 20ema to move up to 3297 for the coming weeks. Looking out for rebound opportunities for our local markets.

HSI

HSI also managed to break the downtrend which we drew and mentioned last week signaling a promising rebound. It is also above the 20ema and might challenge the 21262 level and maybe even higher for the week. Shanghai is edging towards opening up while Beijing is easing up which are positive signs for the Chinese markets. Looking for more upside for the week and even for oil related stocks for some rebound.

Keep a look out for the potential rebound and as usual, don’t overleverage on your position as no one knows if this is the true bottom for the markets or even how high this rebound might go to. For traders, it is utmost importance to be fast to react and with June approaching, markets will be looking to inflation data once again for more directions.

Head over to our facebook for more updates on S&P500 and Nasdaq for the potential levels we are looking at.

Yours

Hubmly

Kelwin & Roy

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Are You Watching This Counter? Cause We Are and Here’s Why!

26th May, 2022, 9:15 PM

Are You Watching This Counter? Cause We Are and Here’s Why!
DBS 26th May 2022

DBS has been lackluster for the last few session and even though it broke the support of around $30.50 it didn’t follow through to go lower but fought hard to make a come back. This is why DBS is now on our radar.

  1. DBS is finally above the 5ema, we can see that the 5ema has been resisting it and after today, it has finally broken above.
  2. DBS at current price has a dividend yield of around 4%. Not the best , but not bad either plus it has potential for capital gains too!
  3. It has broken above the downtrend line we have drawn and overcome the $31 resistance too!
  4. Indicators are pointing to an oversold condition for DBS.

So with these points, we might see some rebound in DBS in the days to come.

Keeping a close eye on it.

Yours

Humbly

Kelwin & Roy

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The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

22nd May, 2022, 11:31 AM

The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

What a  week for the markets! Very interesting set ups for each markets and there’s so much happening. China cutting interest rates and shanghai coming out of lockdown very soon. china government looking to support the tech sector and stop regulations, giving a boost to the tech sector. US inflation is looking to soften.  The S&P 500 dipped into bear market territory but managed to close above that. Could this be the start of a sustained rebound? Do remember to check out all our updates on our Facebook too!

STI

The bounce came in for STI as regional market tries to find their footing and ended up on a positive note for the week. STI currently near the horizontal resistance of around 3249 but we do think that its possible for more upside as the banks for building a base and might look to rebound in the coming week. Upside resistance at 3297 to cover that  mini gap.

HSI

HSI cautious moved up during the week and ended with a bang as China cuts their interest rates which gave the market a much need boost. It is now at the important downtrend resistance line. Its the third time testing this line and usually it takes about 4 times for a stronger break. But with news of a interest rate cut, this might help in the push up so we’re looking for a break and even a test of around 22390 level in the coming weeks. Remember this is more for short term trading. For Long term holders, if you have been following us then you probably might have a position in the HSI already. So continue to hold for that and wait for the bigger recovery to come.

Have a great trading week ahead!

And do go to our Facebook for Nasdaq and S&P 500 updates.

Yours

Humbly

Kelwin & Roy

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The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

16th May, 2022, 5:36 PM
The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

Another crazy week as inflation came in HOT but higher than april’s number. Although inflation slowed down but it didn’t slow down as much and market saw another slam dunk. Towards the end of the week, market saw some relief  but was still down for the week. Well, will be just be a dead cat bounce or the end of the correction? To be honest, no one knows but what matters most is your time frame. Whether you’re a trader or investor. And that will make a difference.

STI

As expected, STI pulled back last week but came off more than expected. Some support drawn on the chart and for now, the 5ema would act as a resistance now and would look for that to break above before any bullish move made. Looking for some rebound for the week as markets in the US are generally oversold. So some relief rally could potentially bring in some rally here.

HSI

HSI broke the 20k support as mentioned and head down to our first support. During the week, some news came out that china govt will be meeting the tech companies for discussion with regards to the crackdown. This helped market out as we saw a general rebound in tech stocks. HSI is currently above the 5ema but still below the downtrend line and the 20ema line in yellow. cautious bullish but not going in full size in terms of trading as HSI always comes down even after good news.

Head over to our face book page for analysis on S&P 500 and Nasdaq.

Yours

Humbly

Kelwin&Roy

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This Sector Remains Rather Resilient And Its Not Commodities

10th May, 2022, 3:11 PM

As more and more countries ease their borders, many people are starting to make travel plans in a travel hungry world. The past two years travel restriction has caused a lot of pent up demand for travel and countries are starting to remove quarantine, testing making it almost fuss free to travel just like the good old days. Instead of the big tech stocks, lets take a look at the hotel industry which actually remain rather resilient when tech stocks plunge as much as 80% .

Marriott International Inc (MAR)

The Marriott group comprises of hotels such as W, Ritz Carlton, St Regis under its umbrella and most of these would be familiar to most. As travel makes it way back, travelers will have to look for accommodation for their trip and hotels often provide a hassle free option and is also close to where all the action is.

The firm reported its first quarter results on May4th. Its first quarter net income totaled $377 million, compared to a reported net loss of $11 million in the year-ago quarter. First quarter adjusted net income totaled $413 million, compared to first quarter 2021 adjusted net income of $34 million.

It also resumes cash dividends, with the Board of Directors declaring a $0.30 per share dividend payable on June 30, 2022, to shareholders of record as of May 16, 2022.

All these are good signs of turn around and with a recent pullback. There might be some opportunity to get in.

Some support are around $161 and $157 and we’re waiting for a base to be formed before taking any action.

Hilton Hotels Corporation (HLT )

Hilton also just reported its results on 3rd may and Net income for the first quarter was $211 million.

Diluted EPS was $0.75 for the first quarter, and diluted EPS, adjusted for special items, was $0.71

Adjusted EBITDA was $448 million for the first quarter

Christopher J. Nassetta, President & Chief Executive Officer of Hilton, said, “We are happy to report solid first quarter results, with all segments driving better than expected top line performance in March. Our results in the quarter, coupled with our confidence in continued recovery throughout the year, enabled us to begin returning capital to shareholders earlier than we had anticipated. In March, we resumed our share repurchase program and, in the second quarter, we declared a quarterly cash dividend. Our team members worked hard to effectively navigate the pandemic and position the Company for the future, and we are excited for the growth opportunities that lie ahead

These are just a snippet of their results and outlook for the coming quarters as hotels remain upbeat as consumers spend more on leisure travel amid a waning pandemic.

Looking at around $130 then $127 to see if the stock stabilize before making any moves.

Hyatt Hotels Corporation (H)

Also another familiar brand with travelers with their results scheduled for tonight. Will comment after their results.

Yours

Humbly

Kelwin&Roy

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The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

8th May, 2022, 4:28 PM

The Week Ahead May 2022 – [STI, HSI, NASDAQ & S&P]

Another volatile week as US markets swung to both the up and down and settled down at the end of the week. Markets around the world continue to face downwards pressure as Fed increased rates last week and the 10 year yield curve crossed over the 3% mark. We continue to watch and wait for more signals for the  US markets.

Key Events to Watch For 

US companies continue to report their results this week and also on Wednesday, the US CPI numbers will be released.

Wednesday – CPI numbers

Thursday – US PPI

Markets will probably be watching these numbers to see how inflation has been so far.

STI

STI was in range for the week and is now sitting at our support of around 3297. The support doesn’t look like it might hold as market hasn’t found a firm footing yet. The next downside support is at around the 3250 area. But meanwhile, there are still pocket of stocks still moving up like the coal related stocks. Our local banks are also taking a break and might see further downwards momentum.

HSI

HSI also came off to the support of 20k once again and it does not seem like it’ll hold at this price. Short term as mentioned we’re not bullish as yet as HSI can’t break the downtrend line and can’t remain above the 5ema too. Downside support at around 19490 level as HSI continues to find a base.

For more analysis on the US market and where it might head to, you can click HERE

Have a good week ahead!

Yours

Humbly

Kelwin&Roy

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The Week Ahead April 2022 – [STI, HSI, NASDAQ & S&P]

24th April, 2022, 8:30 AM

The Week Ahead April 2022 – [STI, HSI, NASDAQ & S&P]

Dow Jones PLUNGES more than 900 points for its worst day since 2020! US markets are having a rough time and if you’re an invested in the US markets, its natural to feel fearful or SIAN. Fed’s Powell spooked the markets as he said a 50 basis point for may hike is very possible which sent market into a nose dive.

As retailers are scrambling for the exit, we hope you’re invested into good solid companies that can withstand the test of time. TESLA is one of them, despite all that the market is going through, we can see that TESLA is still standing strong. More earning results coming out this week so be alert. To find out more when are the other companies reporting results, you can head over HERE. 

STI

And STI has pulled back to 3300 level as mentioned last week. After testing that level some rebound came too. Even though STI came off, we still saw individual stocks moving up and hitting our targets.  It is currently resisted around the 3360-3371 level. With US very weak closing, we might see some negative sentiments flowing in first. With Singapore relaxing more of its measure and going back to pre-covid norms, we might see STI inching out a gain this week.

HSI

HSI also came off as expected. It covered the gap to come down close to 20k support level. We’re still not bullish  for the short term and would be looking out for signs of a reversal first. If we look closely, the 5ema has been pinning down the index and it hasn’t been able to stay above that. In addition, the downtrend is also pinning it down. So waiting for further signal to turn short term bullish. For long term investors, once again, opportunities arises!

For more analysis on the US market and where it might head to, you can click HERE

Have a good week ahead!

Yours

Humbly

Kelwin&Roy

 

 

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The Week Ahead April 2022 – [STI, HSI, NASDAQ & S&P]

17th April, 2022, 4:18 PM

The Week Ahead April 2022 – [STI, HSI, NASDAQ & S&P]

Another volatile week as US market kicks off earning seasons. We have warned that markets are not of the woods yet as market are still trying to find their footing and have not gained any strong grounds yet.  BOA, J&J, TESLA and many more other companies will be reporting their first quarter results. This is key to see as it could set the tone for the year as companies grapple with supply side constraints and with a rising interest rate environment too. This might also lead to markets fluctuating as market takes some cue from earnings.  To find out more when are the other companies reporting results, you can head over HERE. 

STI

As mentioned last week, we expected more pullback for the STI and it has come true. STI has pulled back to 3340 level and we might see further pullback to 3300. This level might see more bargain hunting and we’ll be waiting. Don’t forget although the index might be down, individual stocks can still move up. Oil and coal related stocks are still moving up!

HSI

Weakness also flow into the Hong Kong markets as previously mentioned but with some trickle of good news where the Chinese government finally gave approval for some games. Not turning bullish unless we see more convincing signs, like staying above the downtrend lines. Our downside target remains at around 20000.

For more analysis on the US market and where it might head to, you can click HERE

Have a good week ahead!

Yours

Humbly

Kelwin&Roy

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