INSAS

Periodically,  TCB will pick a stock we may like to trade short term.  So, this week, TCB have picked the stock, INSAS to put in *Stock In Focus (SIF)*.  Please do not take this as a buy signal as our TA reading for these stocks are for sharing purposes only.  Do calculate your own risk/reward ratio if you decided to trade this counter.

Background Information

Insas Berhad operates as an investment holding and management company in Malaysia and internationally. The company's Financial Services and Credit & Leasing segment engages in stock broking and deals in securities, credit and leasing, and granting of loans and other related financing activities; and provides share registration services, management services, and nominee agent services. Its Property Investment and Development segment is involve in property holding and investment, project management, and property management and development.

Shares Issued - 693,333m

Market Cap - 845,867m

Technical Analysis

--- INSAS: Weekly Chart ---

--- INSAS: Daily Chart ---

In recent weeks. global markets have been soaring to new highs and our local bourse has just kicked start an uptrend momentum these couple of days. Most companies are expected to release their quarterly reports soon.

From a technical point of view, INSAS on the weekly and daily chart has turned bullish. A resumption in its uptrend is expected as its share price managed to break the upper Bollinger Band and trended above the 100MA which usually will be followed by a continuation in its uptrend. The uptrend is further confirmed by the closing of the fallen gap at 1.17. Noticeably, reading from all oscillators are in the bullish region and the near term outlook remains bright for INSAS.

Based on the weekly chart, with the break up from 1.17, Insas has entered into its previous Rectangle trading pattern of 1.17 to 1.34. Its previous uptrend line (marked out by the red line) will now form its strong resistance. If it can break and stay above this line, it will be in the stage 2 cycle with the potential to scale  new highs beyond 1.34.

On the daily chart, significant resistance can be found at the 1.25 level. A decisive breakout above 1.25 with volume will spur share prices higher towards the 1.32 and 1.36 levels. However if share prices are unable to hold above the 1.25 level, it will see support at 1.17 and 1.12. A trailing stop loss of 1.07 level will be triggered.

Technical Indicators :-

RSI (14 ) - 76% (Bullish )
MACD ( 26,12 ) - 0.009 ( Bullish )
Stochastic - Bullish
Volume MA - 5.295 m ( 5days ), 4.682m ( 20 days )

Price Action Technique Analysis

A collection pattern is noticeable as refilling at 1.21 level on the trading day of 19/11/2014.
Bid pattern was healthy and positive.

IDEAL

Periodically,  TCB will pick a stock we may like to trade short term.  So, this week, TCB have picked the stock, IDEAL to put in *Stock In Focus (SIF)*.  Please do not take this as a buy signal as our TA reading for these stocks are for sharing purposes only.  Do calculate your own risk/reward ratio if you decided to trade this counter.

Ideal, as its name suggest, is "ideally" primed for a bullish pursuit. 

-- Ideal: Weekly Chart --

Since the day of 8/4/2014 when it started its bullish journey, Ideal has been trending up.  As with other stocks across the bourse, it was not spared when the global correction sets in but after a series of technical rebounds, it broke out from its symmetrical triangle on 4/11 with volume which has bullish implications.  Moving forward, it is confronted with an immediate resistance of 0.75 with strong resistance expected at 0.84.  A break above its previous high of 0.84 will take Ideal to its estimated targets of 0.90, 1.00 and 1.05 respectively in the medium term.

-- Ideal: Daily Chart --

On 19/8, Ideal achieved a new high of 0.84 supported by a large trading volume.  However, it formed a dark cloud pattern on that day which carries bearish implications.  As it panned out, Ideal did went into a 2 months consolidation.  It may have found a new bottom at 0.475 and its breakout from its Falling Resistance Line on 3/11 with increased volume confirms the new bottom.  Ideal's journey in the foreseeable future is looking up and its trading pattern is building up to what looks like a Double Bottom formation with a neckline at 0.75.  This has bullish implications attached to it.

The upward momentum has picked up lately and a break above 0.67 will take it to 0.70 and subsequently to the neckline of 0.75.  A break above 0.75 would confirm the Double Bottom  formation and it would set Ideal up to challenge its previous high  of 0.84 with an estimated target of 1.00.  The recommended stop loss is 0.47.

Key Notes:

1. Ideal's financial performance has been one of growth. Revenue increased 19% in 2013 while profits from operations were up 8%.  It rakes in good positive cash flow from operations and its borrowings were fully repaid in 2013.
2. It currently has a multiple proposal that include a private placement, acquisition and diversification. (Ref: http://www.bursamalaysia.com/market/listed-companies/company-announcements/1778345)