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Glove

The 4 Kings of Glove: When Will They Reverse The Downtrend?Market Analysis The 4 Kings are TOPGLOV, SUPERMX, KOSSAN & HARTA: (not to be confused with Andy Lau, Leon Lai, Aaron Kwok & Jacky Cheung) Fundamental good stocks with strong revenue and cash positions. However, those that chase these heavily promoted stocks at the high side would really need to hold long term in order to recoup. Not sure when it will happen though. Line chart shows the average price of all the 4 Kings. So many bad/negative news (examples) despite good earnings drove the downtrend. Never fight the trend! nor matter what. When it rains, it pours like crazy... 1. Export got blocked by US custom borders for labor practices 2. Failing ASPs 3. Possible more windfall tax (not a really good idea as this will scare off future foreign investors to our country. They are legitimate business, no point to punish them for running a business and making a profit. Even though the profit is super bountiful due to covid19. Heck the glove industry already "donated" like RM500 million previously) 4. Closure of factories due to their workers getting infected by Covid19 5. More competition for folks that jump into glove making bandwagon (i think this will be a disaster for those new entrants once demand drops to pre-covid numbers. Just take a lesson from face masks. At one point, a box of face mask was selling up to RM50/70/100. Now, you can even buy a box at <RM5 at Shopee from China Sellers.) 6. Increase of raw material prices (latex and oil). Oil prices have been on a tear , but unfortunately our oil related counters are not trending upwards. (another story) 7. Heck even our EPF is borrowing out the shares for shorters (SBL). 8. The doctor or nurses do not use any glove when administrating vaccine to the general public (yes, i personally see this when taking the vaccine at PPV) 9. Whatever negative news that might churn out to explain the downtrend. In the end : The markets are controlled by the big players. Disclaimer This information only serves as reference information and does not constitute a buy or sell call. Conduct your own research and assessment before deciding to buy or sell any stock
MYX:SUPERMXShort
by Gilazilla
Is JP Morgan's call of RM3.50 for Top Glove valid? I believe JP Morgan's call for RM3.50 is a valid call. Fundamentally, the company is making money but this is a seasonal business. Top Glove won't be able to sustain such a business volume forever. With vaccines coming out, the business volume of Top Glove will certainly be in downward trend. If a business comes because of covid-19, it will leave when covid-19 becomes a history. That is basic logic. Putting fundamental aside, let see what is the chart telling us after a new high was made on 7th August 2020. The chart shows a clear double top formation which is always a bearish chart pattern. However how can we dive in deeper to get some confirmation on that? Elliot's wave theory of impulsive move 12345 and corrective move ABC are in play in this chart. Right after 7th August new high was made, immediately a sell off happened. The correction from 7th August to 10th September can clearly be seen as a wave A correction move. How do we know that? Because the wave consists of a small "abc" move. The first "a" move was between 7th August to 17th August, a move from 9.765 to 7.135. Then immediately from 18th August to 24th August we saw a bounce to 9.505 which is a "b" way move up. B wave always is a small impulsive move up. Then immediately followed by a "c" wave move down again to 6.15 on 10 September. This first cycle completed the first impulsive A wave move down. Then we saw a capital B big wave move up from 11th September to 16th October then sent TG to 9.72 range again. This move is a B wave up movement mainly because it consists of 5 smaller waves called 12345. But this wave got rejected again at 9.70 range. In my chart, you can clearly see all 5 waves that I have labelled them in blue. This therefore gives more weight to call it a B wave. Next final move is of course the C wave down again. How far can we see this C wave goes? C wave can go as far as 168% of A wave's length. In other words, it means 1.68 times longer than the downward move between 7th August to 10th September. How long was August A wave move? It was 9.765 - 6.15 = 3.615. So a 168% extension of this move will give us 6.0732 downward pressure. Just substract 6.0732 from a recent high made on 19th October will give us a possible target price for next move which is 9.72 - 6.07 = 3.65. So yes, next bearish move of this C wave will possibly send TG down to 3.65 level. This level is also a Fibonacci 78% retracement level from the swing high made in August and swing low made in March 16, at about 1.90. And therefore this is the confluence area of how low TG price could go. For now, for TG to be in bullish momentum again, it needs to break and close above 7.20 level to see further upside momentum. In conclusion, through technical perspective wise, RM 3.50 call is possible. However this is not a financial advice, always do your own research. Thank you!
MYX:TOPGLOVShort
by livegreat
16
TOPGLOV - The Beast is coming back soonTopglov results beat all sell-side consensus. As shown, TopGlov issue is never about fundamentals and earnings. Their problem has been the PR/Corporate image impact due to Covid-19 and the labor issue. After declaring a quarterly dividend, at the current price, the yield is around 2.3%, what's next!? Perhaps, Christmas rally or CNY Ang Pao? HAHAHAA :) Not a buy call, however as a good investor, it is always wise to buy the dip and hold. All the best!
MYX:TOPGLOVLong
by Inandouthunter
10
Topglove - Glove - Its the same thing over and over againIt seems like people will learn their lessons very hard and very hard indeed. As someone who has spent their time in the market for the past 5-6 years and outsourcing most of my trading/investing to algorithm, I know with high certainty that gloves are near peak when everyone I know started asking about Topglove and glove stocks. And then the justifications game begins, "But its a good company", "But the earnings will be good", bla3. You guys don't understand the game yeah? Stock price moves in ANTICIPATION of good news ahead. Not AFTER good news. Usually stocks price will LEAD, not LAG behind fundamentals. Is Top Glove good company? Yes. But Market timing is EVERYTHING. You had the chance to buy early this year when Top Glove break out of its all time high. That was the BEST ENTRY. After that, things get MORE and MORE RISKY and the RISK REWARD ratio NO LONGER payoff. At this point in time, get ready for some volatility and for more downside. The stock will rebound, most probably making a lower high. The bull market and parabolic will ONLY RESUME upon breaking of ALL TIME HIGH. Until then, treat every rallies with CAUTION and use that opportunities to SELL or GET OUT. There are plenty of other opportunities in the market. Unfortunately, the risk reward payoff for gloves are no longer attractive versus some other stocks and sectors. Learn this. Understand this. If not, STAY AWAY from FINANCIAL MARKETS. Regards. P/S: Don't message me or don't comment. I don't read and not bother to read.
MYX:TOPGLOV
by UnknownUnicorn735418
1
Topglove Important Levels are RM 20 and RM 30If Topglove rebounds from here and then it breaks below RM 20, the trend is OVER. Similarly, if Topglove manages to break above RM 30 and sustain, then it is still game on. I have seen a lot of interest from retail Malaysians and even Singaporeans on this stock. People are speculating whether Topglove can become the biggest stock in Bursa and can overcome DBS marketcap. Seeing all of these signs, the risk reward ratio in glove stocks are NO LONGER FAVOURABLE to me. I might put some capital to trade in and out but the MAJOR MOVES are over. The major moves are when Topglove was breaking its all time high this year, before making 400-500% gain, before Careplus made 40x. Market is always FORWARD LOOKING. When all these investment banks start giving crazy price target, you want to be careful. Yes, these companies are expanding, the demand for gloves are high but vaccine also in development. What will happen after vaccine has discovered, will demand remain high? These are good companies, good for their dividends etc, but their valuation is not justifiable. And most people don't understand how whales and smart money control and manipulate the market. Feeling sorry for all the bagholders that one day will hold the bags. I have told all my acquintances to not touch the stock market if they don't understand it. I have done my part. The rest, I don't care. People are too stupid and greedy and dumb. Maybe they deserve to lose all their money after all. Don't reach out to me. Regards.
MYX:TOPGLOV
by UnknownUnicorn735418
3
TOPGLOV 1/8/2020Riding on the healthcare demand theme, topglov's share price has risen significantly in the past few months. While many are doubting the sustainability of the valuation and the continuous rally, investors/operator interest in glove counters seemed to be unfazed, with new highs charted almost every week. Chart and indicator wise, it seems like topglove is consolidating and inching upwards with an oversold RSI in the 1 hour chart. Based on the indicator, it seems like its a good entry now. i am still optimistic about this counter and believe it may chart higher highs in the future because 1) Health care product demand continue to surge 2) Most 2nd and 3rd tier healthcare counters across the world just had a rally 3) Results are expected to be spectacular due to its sheer production capacity and product mix compared to others 4) Share Split proposal Hartalega QR will be out this week. If history will repeat itself, we will likely to see a sharp correction in the glove sector after the publication of Harta's quarterly report, just like the last one. This is only my observation, lets revisit next week and see if it happens. EP: RM24-RM25 TP: RM30-RM31 CL: RM22-RM23
MYX:TOPGLOVLong
by jasontkj
Hartalega - Breakout means Glove can still runHartalega made a massive move today, followed by strong moves by Toglove as well. This is what capital flow is all about. You don't dismiss breakout of all time high. This breakout is significance as it is telling us that gloves can and have room to run, yet. Which means that gloves can give a decent return and its bull market may not be over yet. Based on this signal alone, I have put positions in glove stocks again albeit some have not yet broke their all time high but I am taking the risk now. With Nasdaq strong performances, it is the best bet to remain bullish. Of course, bullish without taking debt/loan/margin/leverage. This is how the stock market works. You make money from MAJOR MOVES and TRENDS, not day trading with high leverage like gamblers. Regards. I don't read messages and comments, stop wasting your time.
MYX:HARTAEducation
by UnknownUnicorn735418
1
Glovemaker, still early to tell but now is Defensive mode.Defensive mode is where you locked all your profits that you have made and you wait for that 30-40% pullback to buy and then sell in rebound. No confirmation that the parabolic move will continue until a decisive breakout above previous all time high. In this case, it will be better to be cautious, take profit and make the assumption that it is over. It is too early too tell, we need to wait for few months to see how the price action looks like but this month doesn't seems good for glove makers. Very likely it will be a long consolidation phase before another major move or maybe it is already game over now. It also depends on global market and how Nasdaq is going to do, I suspect the global market is heading into correction and it will take FEW MONTHS before Nasdaq can break and be above 10000 comfortable. Regardless, we are focusing on the long term trend, not short term noise. That's the reality, trading and investing is all about PROBABILITIES and RISK MANAGEMENT, not about ego. P/S: Don't pm me because I don't have time.
MYX:TOPGLOVEducation
by UnknownUnicorn735418
SUPERMX - Malaysian Glovemarker - Next Target is 11-12 ishThat nasty wick to the downside surely forced a lot of liquidations on people who are using margin or leverage to trade. Good for them. Hopefully they will go work as Grab driver or in McDonald. Oh yeah, I forgot we have that covid thing. Whatever. Good riddance. Anyways, this is still going to up. After the wick, it made a new all time high. The momentum and capital inflow remains intact. Will stay inside this one and ride it all the way up and together with other glove makers too. With Nasdaq going to break all time high soon. This is the only way to survive the world for now... financially.
MYX:SUPERMXEducation
by UnknownUnicorn735418
1