Another breakout - HAPSENG

Hapseng (3034)

So, after three weeks from the doji and touching the 20MA support, there was a breakout.

RSI is over 70. But it shouldn't deter one to buy with a breakout strategy.

A very nice profit for this strategy, this time round. I didn't get any of the action. Did you?

Technical Rebound - Maybank

Maybank (1155)

Let's go back to early 2011. Maybank recorded a RSI less than 30, after 4 long-short-long-short black candles. 5.2% down. 20MA seemed to be in downtrending. High risk but the technical rebound play seemed to work well, accumulating 4.7% profit in a week

A drop of 14.4%, resulting in 3 long black candles. Any takers? If I did buy on the third candles, more than 10% profit was achievable in a month's time.

Still a high risk technical rebound play, 3 long black candles followed by a hammer and a gap down! A profit was still within horizon for the trade.

Towards third quarter of 2012 saw two opportunity for technical rebound play.
 

Early 2013, a nice four black candles with the 4th one a hammer but a small profit. Still a profit; not a loss.

One long black candlestick. Followed by a doji.. and another doji. Nope. Not a technical rebound play. Not yet. Give me more black candlesticks for a technical rebound play, please.

20MA line is going down side. Uncertainty is looming.

Technical Rebound - CIMB

Cimb (1023)

I observed that 2 or 3 long black candlesticks gave me an opportunity to buy. Though I'm aware of Three Black Crows candlesticks. My understanding of the candlesticks is based on http://www.thepatternsite.com/ThreeBlackCrows.html

Cimb showed 3 black long candlesticks 3 weeks ago and the price formed a support line which eventually moved up for a 4.4% profit.

This week, a 3-black not so long candlesticks were seen again. Are we going to see another 4.4%? Bear in mind that KLCI had dropped 81 points in the week.

Let's do more back testing on the stock.

Starting from Valentine Day 2013, 4 black candlesticks were formed. A drop of 3.8%. If I had bought on the closing time of the fourth candlestick, 4.2% profit was achievable.

On 12th March 2013, 3 black candlesticks with the fourth one a hammer, dropping a 3.8%. If I had bought on the closing time of the hammer, 4.3% profit was attainable.

Hmm.. I need more evidences.

After 5th September 2012, 5 black candlesticks appeared after dividend was given. In fact, 5th black candle was a hammer. Buying at closing time on the 5th candle could generate me 5.8% in a week.

 After a shooting star, 3 black candlesticks were seen. A drop of 6.3%. Buying on the 3rd candlestick, should be able to gain 4.5%.

However, if one bought at hammer during early 2013, it would be a long long waiting game. But the result turned out to be a favorable one. 6.2%

This week alone, a drop 7.6% on Cimb counter. RSI is inching up but the rest in negative territory. Yesterday, a bullish harami. Today's low is lower than yesterday's low. Am I taking the bait for technical rebound play?

As a newbie, I must avoid these stocks

AT ALL COST. No matter how attractive it may seem.

1.  CAREPLS (0163)
2.  EUPE (6815)
3.  GUH (3247)
4.  HARVEST (9342)
4.  JCY(5161)
5.  KINSTEL (5060)
6.  PUNCAK (6807)
7.  RUBEREX (7803)
8.  SMARTAG (0169)
9.  TIGER (7079)
10.TNLOGIS (8397)
11.UTOPIA (0140)

GENTING (3182) - Revamp work on current theme park will hurt earning

Breakout - Harta

HARTA (5168)

On 19th June 2013, a shooting star was formed. The stock dived and if one managed to attempt a technical rebound play, a 10% profit awaited.

For 2 weeks, the price was struggling to pierce through resistance level.

According to Investopedia,

What Is a Breakout?A breakout is a stock price that moves outside a defined support or resistance level with increased volume. A breakout trader enters a long position after the stock price breaks above resistance

One fine day, there was a breakout. Price inched higher than resistance level with increased volume.
But followed by a doji and a hanging man. Should one followed the trading plan, of awaiting 8% profit, one can easily achieve that today.

8% profit in ten days' time!

Breakout - Malton

MALTON (6181)

I planned to trade this counter in a very short time period.

Breakout happened yesterday after the price consolidated for seven weeks.

MACD line crossed over signal line with increased volume. Price was increasing for the past 3 days.

My understanding of MACD for breakout trading was based on http://www.remisiers.org/cms_images/guppyspeaks/Guppyspeaks_A/MACD_INDICATOR_FOR_BREAKOUT_TRADING.pdf

I bought 50 lots at RM0.92 this morning with target price of recent high RM0.94. Profit is enough for a nice lunch.

Update: My selling queue of RM0.925, 50 lots, was filled at around 4pm, last Friday. No profit. Small broking fees were incurred.

Breakout - Tebrau

TEBRAU (1589)

For the past seven weeks, resistance level of RM1.41 was formed. Earlier on, a failed breakout, with a long white candlestick, happened. Yesterday, another breakout with a closing price of RM1.43

Did I miss the boat?

As per yesterday, MACD is in positive region. A bullish crossover is seen. RSI is notching up.

Today, price opened at RM1.44 but went south to close at RM1.40 during lunch time. I grabbed at the opportunity. RM1.41 for 35 lots.

Will the second breakout a successful one?

Update: I accidentally sold off 35 lots at RM1.34 today, 26th August 2013 for a RM275 loss.
Horizontal support level is RM1.33. Low volume for the past week.