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Tuesday, June 06, 2006

Picks

STI

The current market is at wave 4. Range will be 2460 and 2360. Will be consolidating in this range for a while before hitting a calculated bottom of 2250 - 2300. After which will the market then continue with the last wave of rally towards 3000. Defensive play should be taken and head for companies with good fundamentals. World cup has greatly reduced the number of players in the market and inflation fears give investors all the more reasons to avoid.

sino environment

A company that clears pollution in China. This is something China needs most currently considering the government is intensively trying to reduce the level of pollution. Strong demand is foreseen in the years to come. A worthy stock to keep and is highly resilient to the current volatile market. Buy on weakness. Fair value currently around 90cents.

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