Market View 27 February 2013

Inevitably, I received a couple of emails on STX OSV
after it announced full-year result yesterday night.
I expect to receive a lot more question about the
stock at Skype later. Anyway, the result was pretty
unexpectedly worse than my forecast. One email 
said that maybe the company has "cook-up" the 
previous results so that it will look nicer to be sold
to prospective buyers. Now that it has a new owner
in the Italian boss, the attractive dividend also being
cancelled. I am not suggesting this is the case.
Well, I can only say that I am disappointed
with the result and no dividend this time round. The
fundamental is still sound and the order book is still
impressive but I expect selling in the stock today.
If you have bought the stock at a much lower price
and have taken the succulent dividend over the
last few years, then it is Ok to continue to hold on 
to the stock. On the other hand, the stock will be 
very well supported around the 1.22 level since 
if this level is breached, many shareholders will
take up the offer and sell their holding to the Italian.

Enter any position with a Cut-loss level & Trailing Stop,
and Please practice strict Money(Risk)-management.
If you don't like what you see in the market,
simply don't trade.

If you have Skype, and would like to chat with me about
stocks and all others, you can ring me at my
email address: stocklobang@yahoo.com
I have currently a couple of members skyping with me
everyday,and they are having good trading results.
See their comments here:
http://stocklobang.blogspot.com/feeds/comments/default

As usual,
Stay Alert but be Aggressive too.
Audentes Fortuna Juvat !!

市场生存座右铭: 风林火山  

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