My First buy in 2017

These 2 stocks have been on my radar for some time, and I was waiting for market to present an opportunity for me to buy them. Last week, there were some heartbeat from these 2 stocks and I made my first buy for 2017.

The first counter which I bought was Mapletree GCC trust. I am wary of the interest rate increase this year which many people spoke about, and that this will affect stocks like Reits and Trusts. The problem with this is that when many people are talking about it, most of the time it didnt happen :). I wanted to have some exposure outside Singapore, and this counter I thought fits well. 

Fundamentally, it's still below the book value, debt is still within the managed range and the dividend is good. There were many articles on China facing a slow down, I guess I will leave this to the economists. 

From TA, it has tested few support levels and last week, it has broken the neckline resistance of 0.97c. It is still below the 200d MA, which is the next major resistance. I guess I am ok, just wait and collect dividend first. :)

The 2nd counter which I bought was YZJ. Shipping has been unloved by many for the longest time now, fundamentally, its still below the book value and paying a decent dividend. 

Lastly, the above is my no means recommendation of any sort, it's just a record for me to validate against my method in years to come.

These high yield blue chips performed well during the US Presidential Election week

It has been an interesting week, but for some, it has been a roller-coaster feeling, the market was behaving erratically during the Presidential Election day and the day after. I was hopping that the market will react drastically downwards so that I can capitalised on it, similar to my purchase of HSBC during the week of BRexit. But as we all know by now, the market crawled back and cover what was lost earlier.

One of the STI component stock I noticed moved against the tide and market. On 9Nov, when the entire market was corrected, the price of this blue chip was resilient and moved upwards. This stock is Yangzijiang.

This stock moved up with huge volumes on the few days of the US presidential election when most of the market is correcting downwards. Is this going to be a reversal of the downward trend for YZJ? Do note the gap between the 50MA and 200MA is still huge, but what's the harm in collecting the about 5.5% dividend while waiting.

The other stock is one of our local bank, DBS. 

We have read many times that if the interest rates is raised, one of the sector to benefit from it, will be the banking sector. This could be one of the reason why investors are making the plunged now to buy the stock. From the chart, can DBS pierce through the $16.2 resistance and continue in a upward trend?

Let me know your analysis of these 2 stocks.

Disclaimer

I am long on both stocks.