Learn IPO Stocks Strategy Right now (Basic for Beginners)

What is IPO? Basically, it means Initial Public Offering (IPO). When a private company is planning to go on public listed, they will issued ordinary shares though an IPO. Most of the time, it is because of the private company wanted to obtain more fund for financing their operation costs.

There are many ways to obtain IPO, however different countries may have their different rules. For instance,

1) KLSE; Investors should obtain it through some paper works through banks or private institutions.
2) HSI; Investors could apply it through e-trading, which means that everything could be done through internet.
3) NASDAQ; Investors have to go through registered stockbrokers, they would request you to wiring funds to the firm before issuing the stock certificates.

What are the benefits from IPO? Generally, there are 2 types of IPO investors.

1) They have already fully understand and review about the company profile and financial report, so they would take an advantages of obtaining at the lower price (like Facebook, Airbnb, etc)

2) They hope to get profits of the price difference from the initial price on the first days. However, the prices may be lower than expected. Hence, it is not easy to gamble through IPO as there may not have enough information for investors to review.

Personal Advice for short term investors,
1) I would not suggest beginner investors to play with IPO as the information you found may be insufficient to analyze.
2) Try sell the stocks within 3 days, no matter Win or Loss.
3) Set a profit of 10%-15%, which is more than enough for most IPO (If only you don't have solid information to back up)
4) If the IPO initial price (before public listed) is lower than IPO price (Frist day on the market), try to sell on the same day.

Hope you guys could share and like the post. Thanks. :)

Upcoming Malaysia Market Trend

Alibaba's (Jack Ma) is planning to invest a huge amount of money into Malaysia as everyone knows. Which means that Malaysia technology stocks would be taking a huge advantages as he would either acquired or work together with the local technology company in order to build up his e-commerce market.

As this so called "Investment" by Jack Ma has not been confirmed between the government and him. But some of the stocks have already overrated on the news and his visits to Malaysia. For instance, XINHWA, 5267 and GHLSYS, 0021.

XINHWA, 5267. Recently, they have build up an ecommerce website (e5buy.com) which have actually attracted china investors.

When the news released, the stocks shoot up straight. 

GHLSYS, 0021. They have already signed an agreement with Alibaba on Alipay in Malaysia. Which means, the future of this stock could be highly considered.

A high volume and a gap after the news released

 For TA, we could consider looking at the support line. Once it hit the support line without further dropping, we could target the price to about 1.78.

According to Public bank research, there are also 7 more technology companies that we all should be aware. For instance, (PUC, 0007), (MTOUCHE, 0092), (KGROUP, 0036), (XOX, 0165), (NETX, 0020), (M3TECH, 0017) and (MNC, 0103). Besides, other than Technology stocks, CIMB and Maybank have also signed an agreement with Alibaba on the Alipay mobile wallet. In which, it may lead to another higher breakout.

Investment Tips: Always remember to set a Stop-loss for every investment.