Wednesday, October 10, 2007

...like a frog in a sock!

Yes, thank you.
I know you are all singing me praises of the forewarning of an overnight blitz. Not sure I was expecting such rush though...5M shares changed hands overnight and that's discounting the 5.1M plus share swap with the APZ/SLM merger. Massive news and positive for both parties in my books.
So, it's official, the market is going up and up forever and nothing, it seems, will stand it it's way...Greed is good! (sorry, I'll get off this incredibly-large horse now..one last thing..THI..huh? huh? You're welcome!!)

But seriously, there were definitely some bulls let loose in WSE-China-Town as bargains were snapped up and led the market to surge yet a few slips from the stragglers saw a slight decline overall.
A close eye today on the action with (APZ46%), (DDE-14%), (HCL10%), (PNK2150% - seriously...), (MYT-80%), (RIS13%), (SLM35%) and (THI18%)

  • Apez Corp. (APZ) Albeit lower than expected volumes on the merger news, but coming in a little late I expect this to change tomorrow. (APZ) finished up at $L3.07
  • Delicious Demar Enterprises (DDE) definitely a prized posession around the markets, saw some profit-taking around the spread with a low volume showing the price slightly down at $L3.39
  • Hope Capital Limited (HCL) the markets bellwether saw a surge on medium, though paled in comparison to daily, volumes to finish at a modest $L0.80. On the way back...
  • AtomicPink (PNK) in the news again today after yesterdays dramatic fall was pounced on by aggressive buying from one punter Sportsbet Writer, taking a 4.85% stake at $L0.09 a share. It would have seen around 400% growth over the 2 days with these large trades but it seems Sportsbet may have liked the idea of an inflated portfolio, taking 10 shares at $L0.45.
  • Myth Enterprises (MYT) struggling Mythlands saw another massive slip today with 300k and counting, leaving at $L0.01! Strangely enough, this wasn't a major shareholder...someone has taken a huge loss!!
  • SLRisk (RIS) stepped up to $1.26 even on the back of a "strong sell" from analyst Jon Desmoulins not pushing investors to the same decision
  • SLMarketing (SLM) much like (APZ) above, didn't have the market reaction expected with such massive news. Volumes, although still low, were double (APZ) and priced-in at $L0.58 to close the day
  • Tao Heavy Industries (THI) bolstered by positive analysts reports, 600K injection saw the price gain to $L0.59 by close. It won't stop here...
Recommendations - I'm afraid it's a tough one today as investors are sniffing these out before I can let you know:
  • (APZ) A steal when you look at the IPO price, but could take some solid earnings reports to push back up there. Definitely a long-buy at $L3 even
  • (PNK) is a bargain and still is a bargain @ $L0.10 as the major shareholders sort out their pecking order. The small volumes around the spread aren't doing justice and this is a very inefficiently priced stock
  • (MAI) Advertising will be boosted by the push in marketing, don't be surprised if Tyrian isn't already capitalizing on this news! BUY BUY BUY anything below IPO of $L1 flat, beat the rush!
  • (MYT) High risk, as when things go so horribly for 1 stock, the strong-arm of the WSE usually intervene...but at $L0.01...it's not going to break the bank. Assets and management are still solid and no major shareholder activity for a month also leads me to believe that someone in the market is pulling their own painful wallet strings. I saw, play-ball!!
  • (RIS) Despite analysts reports, this company has a solid concept and is backed by The Rock Insurance Co. Accumulate at $L1.25 and hang on for a month...you'll see
  • (SLM) Possibly the most volatile of the two in the merger with (APZ) as the price has a lot of movement left before it's out of "typical trade" reach. Look out for a boom in this industry and I wouldn't be surprised if a stock buy-back was on the cards. Get in at $L0.60 and don't let it go yet!
Stay tuned...it's warming up
SW

0 comments: