Dacai

It is difficult to tell if this recovery in chip stocks is a dead cat bounce. My gut feeling says no as the AI infrasture demand is real but the market is moved by smart money and what we can do is size our positions according to our risk appetite and set stop losses.

Trump’s vociferous posturing is not going to get the Strait of Hormuz open. In his past track record of “managing” relations with other countries, he has always made things worse and this war is turning out no different. Now we are faced with the threat of blockage of another strait and free marine passage rights in danger of being undermined permanently.

$Suntec Reit(T82U.SG)Keep it up, Suntec Reit! The stock price has been hovering around and testing the upper limit of the Bollinger Band for the past 2 weeks. Resistance is at 1.54. If it can break through that, it will set a new high for 52 weeks. I can’t wait to see that happen.

$Suntec Reit(T82U.SG)The chart is still looking good. A little pullback at this point after the formation of a “cup” is not unusual. The long tail wick suggests buyers are still in the market despite the red candle. If the sentiment holds, it may progress into a bullish cup and handle pattern later on. The handle should be less than half of the depth of the cup.

I’m looking forward to the earnings of the three big local banks. The stock price is likely to benefit from the growth in net new money and wealth management income given the continuing uncertainties in the Middle East and the rotation of funds from chip stocks.

$IFAST(AIY.SG)On the daily and weekly charts, we can see a bullish falling wedge seems to be forming as the price has broken above the upper trend line of the wedge. After breaking out, it falls and rebounds at the upper level of the wedge, forming a new support. This bodes well for the continuation of the uptrend.

I’m glad I exited my small gold position at a loss. If I had held on, I would be even worse off now. While some people believe in holding a bit of gold for diversification, I don’t think it works for me as it doesn’t pay dividend.

$Suntec Reit(T82U.SG):)

$Suntec Reit(T82U.SG)The price movement is progressing as I had hoped. KDJ is 84 so it is crucial to see if it can break through the resistance of 1.53. A cup is forming both in the daily and weekly charts. Currently the implied probability of the Feds raising interest rates has dropped from 45% to 12-17% due to inflation cooling so that is a positive thing for reits.

It is nice to see Apple’s stock price moving up again on news that Apple is looking to acquire an AI chip company. This will probably be its biggest acquisition in history. Hopefully this will help it to expand the power of its AI servers. With a new CEO in helm, we can look forward to more initiatives to make Apple stronger and cement its competitiveness.

I’m really pleased to see STI breaking new record. A large part of that has to do with the 3 big banks which are on fire. I’m not so sure if this has to do with the AI manufacturing story. The AI manufacturing related stocks (component suppliers) I hold are up one day and down the next.

$Oiltek(HQU.SG)Oiltek stock performed excellently yesterday, reaching as high as 1.77 before closing at 1.69. The volume looked relatively high as well. It is still below the upper limit of the Bollinger Band and KDJ has not reached overbought levels yet so there should be further upside. Let’s see if it can reach a higher high today.

$Oiltek(HQU.SG)The red candle yesterday was a surprise for me given oil prices are still rising and there is no sign of abatement in the Middle East war. I am still holding on. I have kept my position intentionally small for this as it is not a stock that has met my criteria for long term holding yet.

The proposed framework to speed up approval of new funds seeks to widen the variety of funds available and encourage innovation in the Singapore financial market but I hope this will not be at the expense of safeguards for retaill investors.

$Suntec Reit(T82U.SG)Woohoo, Suntec Reit hit 1.50 today and the candle looks good with a long body and a long tail, suggesting the buying sentiment is quite strong. KDJ is at 78, near overbought levels so 1.50 can be a resistance. As the daily chart shows, the pattern of higher highs and higher lows is still continuing. I hope it can maintain the momentum and break above 1.50.

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$Oiltek(HQU.SG)On Friday, the price of Oiltek went up as high as 1.72 before closing at 1.63. This sign of profit-taking is not surprising as some traders like to close their positions before the weekend. The weekly chart suggests a rebound could be taking shape. The daily chart shows a MACD golden cross. Support is at 1.37.