Tracking WMC ...........

Bursa continued its downward trend finishing 6.7 points down to 1,350.72. Overall market was dull. Most shares were down. The few that gained were outsiders. On the whole, the blues were not to be seen. Th global scenario - Wall Street was up and so were the Chinese bourses. I think Bursa will go up tomorrow!

Let us look at how WMC was traded today. Nothing was done until about 10 A.M. Lacklustre retail trading by those who wanted to sell this morning. So after an apparent yoyo around the overnight level, bargain hunters brought WMC to its low for the second day at RM1.06; two sen higher than yesterdays's low. No volume buying for sure. There was, however, a block or two of 100-120 lots being traded buying up the sellers. Stuck out like a sore thumb. Was that an indicator? Can we expect something untoward in the afternoon trading session or tomorrow?

As expected the big boys came in the afternoon. Close to 3 million shares were done. Block trading was evident now. Two blocks were 500 lots and above with many in the intermediate size of 300 to 400 lots. At the next level were the 100-300 lots. With intermittent profit-taking, WMC moved up to RM1.20. Last minute selling by weak holders brought the counter down to close at RM1.19 for an 8 sen gain.

My friend, this is definitely heavy collection. No indication of any hurried buying. They just take off the sellers all afternoon at a leisurely pace; bargaining sometimes to get a better price for big blocks.

This is also no technical rebound because if it is, then WMC should have gone back to the RM1.50-RM1.70 level. Anyway, today is no day to do a stunt-suicidal! Tomorrow is a better day because the heavy buying today and the 8 sen gain will make would-be sellers to think twice before letting go of their soon to be "golden goose".

Happy punting WMC!

Heartsong