| 30/12/2002 Monday 09:50 pm Monday The Dow dropped 120 points at the opening as North Korea defiant stance on restarting its nuclear warhead program may open up another front for the US in its battle plan to hit out at countries which it deemed as axis of evil. The Pentagon is clearly placing out its troops in the seas off the gulf and it is not whether there will be a war but when. With US hell bent on taking on Iraq, North Korea's stance has thrown the gauntlet in the US war machinery. The Dow is still weak as charts portends losses ahead this week; geopolitical events are the focus and as it stands more war talks could be jaw-boned by US leaders this week. Sat 12:30 pm The Dow dropped 129 points and with charts looking weak, further losses to 8222, 8120 and then to 8000. Nasdaq too shows weak signals and losses seen next week. The major Dow target lies at 7837 and a rally is expected towards the end of the first week of January 2003. Friday Nothing has changed since the long holidays. Dow and NASDAQ drifted lower in the absence of fresh factors. Volume was thin with some interest in Telco shares. M1 which was sold down from 1.32 is finding some interest near 1.20. Datacraft and Chartered are both oversold and may see some light support near last session's low. Water treatment company Hyflux won a contract worth $27.8 mln and could see some buying. Dayen and Darco could also follow in tandem. In all, one more slow day ahead. Sunday George Bush cancellation of his African trip may negate the strong close of the Dow and Monday could see another day of thin directionless trading. With Christmas and the spread of good tidings ahead, most analyst expect war talks to be kept to minimum, even by the harshest of hawks in the white house. Some bright sparks seen, in particular, NOL which may see a return to listing of American Eagle Tanker which failed to take off in the NYSE after much hullabaloo. This time around, a listing may lift the gloom hanging over NOL as the market's perception that a rights issue is inevitable will dissipate as this listing could alleviate most of its need for cash. Here's wishing one and all, a MERRY CHRISTMAS and may peace and goodwill prevail on this EARTH. Thursday The strong close today is encouraging for the bulls and with most blue chips having been bombed out, the odds for a year-end rally looks better. Hedge funds which may have driven index-linked stocks down could start to cover their shorts as early as tomorrow as next week is a holiday-shortened trading week. Today's activities were centred on IPO Cheong Woh which went below the IPO price of $0.23 on news of undersubscription. The next IPO will be DMX which comes in at $0.21 and prospective PE of 8-10 times. Issue size is 55 million and the public portion is 16.2 time oversubscribed. The company is a direct competitor of Datacraft. Sembawang Corp made a reversal pattern on charts and technically it is still oversold despite today's bounce. OCBC is well supported at 9.45 and bounce from here may see moves to 9.90-10.00. SemCorp key targets are at 0.87 and 0.905. Previous commentaries DISCLAIMER This is a free site and all views expressed here are not an inducement to trade or invest. The reader should be aware that investment and share trading have inherent risks and the author shall not be responsible for gains or losses incurred whatsoever. |
| Tanker's Elliott Wave Free Site |
|
| Free E-Mails are sent to those on mailing list. For those who are interested to be on mailing list, please provide full name, age and occupation to tanker333@hotmail.com |