It was an exiting week for local blue chips as most were facing strong rally. Buyers over the past few months might be seeing light in end of tunnel! This round we combine valuation (fundamental analysis) and major resistance lines (technical analysis) in the following counters. Let use P/B ~1 as the min target (as price is still attractive) and dividend yield closer to 3% as the bonus (price tends to be less attractive). Investor could decide whether to enter or exit from the counters accordingly. Similar method could be applied on other counters as well. For potential sellers, it would be wise to spread exit points instead of one, because you might not want to miss any surprise that market brings you.
DBS:
Buyer has been in upper hand over seller, as the uptrend followed with significant volume. Current price is still below its book value. Room for value hunting is limited as of now.
Similarly, the counter is under bullish trend. It has broken resistance at 8.03 and 8.52. Immediate resistance is 8.85. Buyer shall wait for a retreat. However there is not selling signal from trend yet.
Net asset value = entity's value - entity's liability
P/B < 1 means price is under net asset value.
No comments:
Post a Comment