The other day, I made a call to short the EURO/USD pair. If you did, you probably laughed your way to the bank.
I also made a call to buy MRCB. If you bought at RM1.32, and sold at RM1.50 and above, you would have made some quick returns as well. However, there's no harm in holding this share if you entered a little late. Since the share swap deal should be completed in July or earlier, and is done at the price of RM1.55
Moving forward, we all must be weary of the global situation. Companies are be scrutinized for not earning enough profits, and this trend is expected to continue with unemployment skyrocketing in major European and North American economies. If there is no job, there would be no income, and consequently less spending on goods that Asian economies produce.
It is wise to keep a close watch, and only bet on sectors that are intricately linked to basic needs of the population: Energy, Food/Water, Housing
For now, I wouldn't recommend Telecommunications just yet. It is going through a consolidation phase, and trends are worrying especially when Apple Inc is reducing the amount if Iphones being manufactured.
Potential buys for KLSE can include:
YTL Power
Puncak
MRCB
Gamuda
E&O
DRB Hicom
I will keep my call for LONG on SILVER (currently trading at USD28.76), and certainly be on the look out for potentially lower prices.
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