Sep 4, 2012

DIALOG : Give Me Some Pocket Money?

I feel stifled by the long winding posts that I have yet to write on my Kota Kinabalu Travelogue. Despite the tediousness that almost drowned me out, I mustered my determination and tell myself (you too!) that the best part has yet to come; of the climb of Mount Kinabalu and outrageously adventurous white rafting.

A break comes in handy, though I feel bad for neglecting the once hyperactive blog this used to be. Sometimes I ponder, "Why, at the first place, I started a blog?" and "Why is that I am feeling so tiring thinking about the posts I have yet to write?". Perhaps a new direction is needed, which I feel that sharing a new part of my life would be ideal.

I still remembered the days I flipped through the stock section of newspapers, clueless of what those tiny figures were trying to tell me and how things have changed now. Spotted minutes ago was this stock listed in Kuala Lumpur Stock Exchange ("KLSE"), namely DIALOG (Stock code: 7277). 


Being an integrated specialist technical services provider in the oil, gas and petrochemical industry, DIALOG provide services to the upstream and downstream sectors. Demand wise, oil and gas ("O&G") industry remains one of the resilient industries in Malaysia. Hence, the stability of derived demand for O&G specialty industry like DIALOG is pretty much guaranteed, though it does not rule out the impact of volatility of crude oil price on the supply and demand of O&G industry.


From what you can see from the chart above, there are THREE (3) Moving Average ("MA") Lines marking 20d (short term), 50d (medium term) and 100d (long term). As of today (4/9/2012), the closing price of DIALOG is RM2.37, below both 20d and 50d lines. The 100d line has now became the support (approximately RM2.34) of DIALOG.

BUY signals are spotted as follow:
(1) the MA lines are showing uptrend (i.e. the 20d lies above 50d and 100d lines);
(2) the support line is effective as the stock trend is bouncing off the support line;
(3) the candlestick patterns seem to signal a positive trend; and
(4) the Stochastic is currently oversold (i.e. less than 20%) and the %D (3) line lies above Smoothed %D (3) line.

However do NOTE that the sequence of MA lines is seemingly moving to intersect with one another, which will then suggest a different signal.

All in all, it seems to be a pretty good BUY. Maybe it is time for me to get some pocket money.

Disclaimer : All opinions stated here are of my own. Any transaction executed based on this piece of humble post of mine would not held me liable as the decision remains to be in your hand.
   

4 comments:

  1. Nice write up on technical! I love it!

    ReplyDelete
    Replies
    1. Thanks for your support!

      Delete
  2. HiTomi,

    From part-time model and fashion photog, to financial advisor!!

    You are full of surprises.

    Do let us know if you buy signals are good indicators.
    They might be if you also have good and timely sell indicators.

    I gave up chasing individual stocks years ago and have been invested in mutual funds for more than a decade.

    During the downturn of 2008 my portfolio dropped less than market averages, and has recovered more quickly, and in fact has been doing better than S&P and DOW during the last 18 months.

    Very good article!!

    David

    ReplyDelete
    Replies
    1. I missed out one of the most important signals ever, i.e. the Elliot Wave. It signaled the imminent downtrend. Plus the market is uncertain now, hence the drop of trend for past two days.

      No doubt, mutual fund is one of the alternatives of investment. Which managing firm are you using?

      Delete

Share This

Follow by Email

Related Posts Plugin for WordPress, Blogger...