Synear

20090619: Close 0.225, +0.005, +2.27%

The weak support at 0.220 may be breahed in the coming week:




Synear ($0.515, 20080526):

Still no sign of recovering since the last sell signal:


Lifted by one-off Rmb14m tax reversal - by Ho Choon Seng CFA
(SYNF SP / SYFH.SI, UNDERPERFORM - Maintained, S$0.56 - Tgt. S$0.35, Food & beverages)

Core net profit of Rmb93.0m was in line with expectations, forming 29.9% of our FY08 core net profit estimate and 20.4% of consensus. Reported net profit was distorted by a one-off Rmb14m tax reversal relating to the dividend witholding tax wrongly provided for in 4Q07. Sales dropped 5.8% to Rmb678.4m, in line with management's earlier guidance of less than 10% decline. Margins were further squeezed to 26.8% compared to 34.3% in 1Q07 and 27.6% in 4Q07 due to sustained price pressures. Overall ASP of around Rmb8,400/tonne suggests that sales volume fell 23% yoy. With results in line with expectations, we keep our EPS estimates intact. The outlook continues to be murky with continuing price pressure and falling sales volume. Maintain Underperform with unchanged target price of S$0.35, still based on 6x CY09 P/E.

Synear ($0.57, 20080505):

Another stock with the "Pump and Dump" pattern, together with other bearish indicators:

Note: For the "Pump and Dump" pattern, please visit: http://intellination.blogspot.com/

Charting of Popular Singapore Stocks

For Charting of Popular Singapore Stocks, please visit:

http://intellination.blogspot.com

BioTreat

BioTreat ($0.335, 20080425):

BT dropped another 13% since last update on 20080418 to all-time low at $0.335, with a weak support at 0.24, all indicators are extremely bearish:

BioTreat ($0.385, 20080418):

1. There had been lots of warning in the media and the net about this stock since the middle of last year;

2. On 20080410 it dropped from an intraday high of 0.55 to close at 0.495. Some early warning signals had started to appear;

3. Volume increases and a Sell signal appeared on 20080417 followed by more confirmation signals.

Since our last coverage on 20071019, its share price has dropped about 50%. Click on chart for details:



BioTreat ($0.775, 20071019):

Double-Sell signals with bearish indicators, with supports at 0.70 and 0.65:

FTSE ST China Index

Similarity between FTSE ST China Index and Our Top10 Approach:

Our approach of monitoring S shares using the average of the top few best performaning China stocks gives rise to similar plot of the FTSE ST China Index (See Charts below).

The Yahoo Finance site provides plot of FTSE ST China Index only up to a maximum of 3 months whereas our approach gives a longer history, and it also generates the Total Trade which indicates the total amount of shares traded in dollars.

S Shares

S Shares - Downward Resistance Likely (20080404)

S-Shares seem to have hit resistance and are likely to turn downward in near term:

S Shares - Is Downtrend Over? (20080328)

Notice that during the Uptrend, the sell-offs tappered off gradually before reaching the Peak, then followed by the Transition and the Downtrend. Similary, the Rallies during the Downtrend would have to tapper off gradually before reaching the Trough and the next Transition phase.

Judging from the current situation, the Downtrend is likely to continue for a while longer after the last rally.

Beauty China

Beauty China ($0.745, 20080320):

Broke below support 0.80 after a long black (red) candlestick and the usual set of bearish indicators with the Double Sell signals (high lighted below). Judging from the strength and trend of the signals, there is still more downside to come, with support around 0.70. Click on chart for details:

By the way, Beauty China is currently the topmost bearish counter on the Top10 list, followed by Sinostar, DataCraft, China Oilfield, Lian Beng, China Sun, China XLX, China Sky, Ascott Residence and China Essence. Note that 7 of the 10 are S Shares:

News:

20080226: Beauty China - 4Q07 results lower than expectation due to higher distribution expenses and depreciation cost by Singapore Research Team

Beauty China released the 4Q07 results. Turnover increased 40.1% yoy to HK$211.3m, in line with our expectation. However, net profit just up 0.9% yoy to HK$39.6m. On the full year basis, net profit increased 20.1% yoy to HK$161.9m, 9% lower than our forecast and 5% below the market consensus.

The lower than expected net profit was mainly due to the high distribution cost and the other operating expenses. Distribution cost surged 54.9% yoy in 4Q07, mainly driven by increased A&P expenses and higher logistical cost. The depreciation of newly-acquired factory and the amortization of the land use rights lead the other operating expenses soared 131.6% yoy in 4Q07.

C&G

C&G ($0.265, 20080314):

Share price has dropped more than 50% in the last 4 months, and all indicators are still very weak:

1. Death Cross on 20080227 as early warning
2. Sell Signal on 20080304
3. Declining MFI
4. Declining RSI
5. Declining TRIX

C&G ($0.58, 20071109):

Turned bearish since early Oct, could be due to high oil prices. Weak support at 0.56:

Synear

Synear ($0.46, 20080314):

It has continued to slide down along its downtrend channel with these bearish developments:

1. Sell calls from brokers
2. Breakdown gap with long black (red) candlestick
3. Three Black Crows candlesticks
4. All indicators have no sign of reversal yet

Possible support at 0.33 which is the lower price band.

Synear ($0.58, 20080307):

A new set of bearish signals has emerged: (1) Death Cross which appeared on 20080225 as an early warning signal; (2) Sell signal on 20080226 and (3) Declining MFI, RSI and TRIX.

Synear ($0.68, 20080229):

Despite the rebound from 0.64 to 0.68 on last Friday (20080229), all its indicators are still very weak. It is currently in a downtrend channel started some 4 months ago. Possible to break below current support at 0.61:

SunShine

SunShine ($0.25, 20081111):

Tested and broke below two important supports at 0.365 and 0.29, now may test the next level at 0.23. Excellent buy-in opportunities existed around last September and sell-off after the double sell signals appeared in November (blue and red arrows respectively). As off now, all indicators look bearish:

China PowerPlus

China PowerPlus ($0.23, 20080104):

It has been on a downtrend since Mid June, 2007, down from a high of 0.445 to the current low at 0.230 with thin volume. Most indicators are still bearish now as highlighted. Could be a good long-term investment to consider if dips further to the lower 0.20 range:

Sino TechFibre

Sino TechFibre ($0.70, 20080111):

Since the last sell signal (Chart 4), share price continued to fall and broke below the Lower Price Band (Chart 1) with increased volume (Chart2). All indicators are extremely bearish:

Sino TechFibre ($0.885, 20080104):

Closed with 52-week low. Price action and all indicators are very bearish:

Sino TechFibre ($1.27, 20071019):

Price crossed into the lower price band and touched the lower price line which served as a good support on last Friday. A sell signal had appeared recently and with the rapidly deteriorating indciators, it is expected to dip further below the support at 1.24 in the coming weeks: