Top China ADR Portal

China ADR stock research


Warning: strtotime(): It is not safe to rely on the system's timezone settings. You are *required* to use the date.timezone setting or the date_default_timezone_set() function. In case you used any of those methods and you are still getting this warning, you most likely misspelled the timezone identifier. We selected the timezone 'UTC' for now, but please set date.timezone to select your timezone. in /home1/chinaves/public_html/libraries/joomla/utilities/date.php on line 56

Warning: date(): It is not safe to rely on the system's timezone settings. You are *required* to use the date.timezone setting or the date_default_timezone_set() function. In case you used any of those methods and you are still getting this warning, you most likely misspelled the timezone identifier. We selected the timezone 'UTC' for now, but please set date.timezone to select your timezone. in /home1/chinaves/public_html/libraries/joomla/utilities/date.php on line 198

Momentum China stocks keep moving

E-mail Print PDF

advance8Nov. 4, 2009 (Chinavestor) With index futures pointing to a higher open, expect momentum China stocks to extend the rally. Here is a list of stocks that are expected to keep moving: WuXi PharmaTech (NYSE:WX), China Automotive Systems (NASDAQ:CAAS), Yanzhou Coal (NYSE:YZC), Trina Solar (NYSE:TSL), Canadian Solar (NASDAQ:CSIQ), KongZhong Corp. (NASDAQ:KONG), and Rino International (NASDAQ:RINO) among others. On the same token, Sohu.com (NASDAQ:SOHU) is way oversold and ready to turn around. Expect a gradual recovery for Baidu.com (NASDAQ:BIDU).

WuXi PharmaTech (NYSE:WX) has been on the top of the most overbought China stocks list frequently. It's been a sort of bumpy ride for WX but the stock looks strong from a technical point of view. WuXiPharma (NYSE:WX) is up 66% YTD but has additional upside potential, according to technical indicators.

Another stock that's been moving lately is Yanzhou Coal (NYSE:YZC). China's third largest coal miner has been very volatile lately but with oil and coal prices on the rise again, expect Yanzhou Coal (NYSE:YZC) to do well on Wednesday. The company reported somewhat disappointing 2009 Q3 numbers in October punishing Yanzhou Coal's stock price but this just makes a technical rally more likely.

China solar companies have started to move again, sending shares of Trina Solar (NYSE:TSL) and Canadian Solar (NASDAQ:CSIQ) up over ten percent. We have long been arguing that the Chinese solar sector is oversold and is ready to head north. Expect smaller JA Solar (NASDAQ:JASO) and Solarfun Holdings (NASDAQ:SOLF) to pop one of these days as well.

KongZhong Corp. (NASDAQ:KONG) is just coming off the lows of October 28. The stock has strong momentum - though it might be short lived. But with strong market sentiment n its back, expect KongZhong Corp. (NASDAQ:KONG) to extend the rally.

Rino International (NASDAQ:RINO) advanced 12% on Tuesday and looks to have sufficient short term momentum to carry the stock over Wednesday. We have published a related story of Rino on the site: Rino Shifts Gears. Besides fundamentals, Rino International (NASDAQ:RINO) looks good from a technical point of view as well.

Most overbought China stock list

OB-114

Looking at the most oversold list, Sohu.com (NASDAQ:SOHU) became clearly oversold.Sohu.com is hurt on lower Q4 revenue guidance - just like Baidu.com (NASDAQ:BIDU). But taking a closer look at both Sohu.com and Baidu.com, earnings and revenues came out strong for the third quarter. While outlook is very important, it looks as if the markets over reacted to the lower revenue guidance of Baidu.com (NASDAQ:BIDU) and Sohu.com (NASDAQ:SOHU). expect both companies to eventually recover with Sohu.com moving first.

Most oversold China stock list

OS-114

aexpl-obos

Overbought A technical condition that occurs when prices are considered too high and susceptible to a decline. Overbought conditions can be classified by analyzing the chart pattern or with indicators such as the one above. A sharp advance from $15 to $30 in 2 weeks might lead a technician to believe that a security is overbought. Or, a security is sometimes considered overbought when the stock is trading out of its trading envelope and is approaching the theoretical high. It is important to keep in mind that overbought is not necessarily the same as being bearish. It merely infers that the stock has risen too far too fast and might be due for a pullback.

Oversold A technical condition that occurs when prices are considered too low and ripe for a rally. Oversold conditions can be classified by analyzing the chart pattern or with indicators such as the one above. A sharp decline from $30 to $15 in 2 weeks might lead a technician to believe that a security is oversold. Or, a security is sometimes considered oversold when the stock is trading below its trading envelope and is approaching theoretical lows. It is important to keep in mind that oversold is not necessarily the same as being bullish. It merely infers that the security has fallen too far too fast and may be due for a reaction rally.



If you like us, spread the word to the fellow investors on your favorite Social Bookmarking websites
Reddit! Del.icio.us! Mixx! Free and Open Source Software News Google! Live! Facebook! StumbleUpon! TwitThis Joomla Free PHP
 

!!! CHINAVESTOR.COM is for SALE !!!

BUY this domain with all its credentials. Chinavestor.com has been added to Google News and Finance since 2008! Huge web traffic upside potential! Website is optimized for Chinese stocks but can easily be tweaked. Contact Seller Here

sale1
G_news
Check out The Benefits of Getting into Google News!

Free weekly newsletter

Get hot China stock news every Monday