Tuesday, 11 March 2008
Midas used to be a favourite of many until it lost that 'midas touch' a few weeks back. Today is one of the rare occassion that i bought a stock after many months of staying 'in cash'. I bought Midas this morning at 85 cents after it formed a doji yesterday and announced a JV contract that is worth S$300m. I guessed I managed to get in at this price due to the poor showing by US overnight. The oversold stochastic and increased in volume seemed to bode well for a technical rebound back to the S$1 level. Since the overall trend is still downwards, this trade will be a for quickie only.
SINGAPORE: Midas Holdings has secured a S$300 million deal to supply 32 metro train sets, an equivalent of 192 train carriages, for the Shanghai Metro Line 2 Eastern Extension Project. The orders are expected to be fulfilled between 2009 and 2010. Midas ' joint venture firm, Nanjing SR Puzhen Rail Transport (NPRT), will have an estimated two-thirds share of the contract. This is the second contract won this year by Midas , which manufactures aluminium alloy extrusion products. - (Source: Channel News Asia).