Daily Strategy for Investors on February 10, 2021

Asia Wealth Securities (AWS) released an analysis for the trading session on February 10, 2021 indicating the essential events in the stock market as follows: 

 

Investment Ideas:

Today’s investment overview – AWS expected the SET today (10 Feb) to move in the range of 1,505-1,536 points. The stock market fluctuates after concerns about the constitutional amendment process, having to wait for a decision from the Constitutional Court. 

Meanwhile, the stock market responded positively to the rebound in crude oil prices and the progress of the U.S. economic stimulus measures. 

There are no new positive factors supporting short-term investment, allowing AWS to maintain the same investment strategy by introducing to take profit on stocks that are at full value or exceeding fundamental value, focus on investing in stocks with unique positive factors and AWS recommended Core Investment.

 

The Council passed a resolution of 366 with 316 votes approved by the Palang Pracharat Party, proposed to submit to the Constitutional Court on the power of the National Assembly to amend the constitution about the constitutional Council that has the power and can act or not. 

AWS estimated that the resolution will simplify the constitutional amendment process taking more time than previously expected after having to wait for a decision from the Constitutional Court.

 

Yesterday, the cabinet approves the remaining 3 extensions and new lines as proposed by the Ministry of Transport, including (1) Blue Line Project: Hua Lamphong – Bang Khae section worth Bt227.2mn and Bang Sue – Tha Phra section worth Bt197.1mn (2) Orange Line Project: Bang Kapi – Bang Bumru section worth Bt426.7mn and (3) Purple Line Project: Bang Sue – Sam Sen section worth Bt90.8mn and Samsen-Ratburana worth Bt254.4mn. AWS looked positive for the share in the construction sector (CK and STEC).

 

Core Investment

1) Global Play (Trading within 1 month) – PTT, PTTEP, TOP, PTTGC and SCC

2) Green energy stocks (Trading within 3-6 months) – GPSC, EGCO, GULF, BGRIM, BPP, BCPG, EA and ACE

3) Expectations for the vaccine and increased stimulus measures (Trading for 3-6 months) – BBL, KKP, BEM, CPF, TU, M, OSP, CPALL, HMPRO, CRC and CHG

4) Stocks which expected that the performance in 4Q20 will outstand (1-2 months) – SAWAD, GULF, SPALI, ORI, WHA and STA

5) Dividend Play (Middle-term trading 6-12 months) – SC, LH, QH, KKP, TISCO, RATCH, DIF, INTUCH, EASTW and TTW

6) Long term accumulative stocks (DCA) (Long-term trading over 1 year) – AOT, BEM, ADVANC, WHA, LH, CPALL, CPF, BDMS, HMPRO, BBL and KTB