Cabernet Sauvignon (and beer).

This is my favourite wine as it is inexpensive and very drinkable. If I remember correctly, it costs about $14 a bottle at NTUC Fairprice:

I would have some wine once in a while but it would take me three nights to finish a bottle as I am not in the habit of having wine every night. So, often, I would have some leftover which I would have to throw away which is a pity. Here's the first glass I poured tonight:

Red wine is good for the heart and, of course, it warms up the body like all alcoholic beverages. It also promotes better sleep quality and I know I am in need of this recently.

Tonight, I drank more than I would usually. Only half a bottle left. I have stoppered what's left and, hopefully, I would be in the mood to finish it tomorrow night.

Cheers!
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Update: December 2016.

LMIR: Thoughts on partial divestment.

It has been a long time since I looked at the technicals of LMIR. Someone asked me if I would consider adding to my position in the REIT and I explained that I am still unhappy with how the management is losing millions of dollars quarter after quarter due to their foreign exchange forward contracts. So, not adding. Well, not unless price were to decline to provide a distribution yield closer to 10%. Nonetheless, the discourse got me curious enough to look at LMIR's chart.

The first thing that I saw was a negative divergence. As price moved higher, the MACD formed a lower high. In the last lower high on the MACD, price formed a lower high too. This is ominous. We have a potential head and shoulders formation. The neckline of this formation coincides with the rising 200dMA and would approximate 53c in the near future. If price were to break this neckline, we could see price going much lower. How low? 48c is a possibility. That would give me a distribution yield that is attractive enough to increase my investment in the REIT.

Should I sell now? Well, TA is about probability and not certainty. The head and shoulders formation could fail to deliver. However, as the bulk of my investment in LMIR was made in mid 2009 when prices were very depressed, a partial divestment to lock in some gains seems attractive in light of a possible significant decline in price.

Of course, these investments have already benefited from two years of income distributions as well and are likely to continue receiving regular distributions. There is no overarching need for me to partially divest but if I do, what price would be good for a partial divestment?

I would like to sell at resistance and it is obvious to me that immediate resistance is at 55c. However, Lippo is going to buy a big chunk of LMIR units from Mapletree LM Pte. Ltd. at 56c a unit. So, I think price could possibly go to 56c in the open market too. I have put in a sell order at 56c. Read announcement here.

How would things turn out? Only time can tell.

Bridgewater to buy 9% Lippo-Mapletree retail stake for $54.8m
Monday, 23 May 2011

© 2011 - The Edge Singapore

Related posts:
LMIR: 1Q 2011 results.
To protect our wealth, we have to take risks.

Golden Agriculture: Divestment at 70.5c.

I am feeling the effects of age as it catches up with me or, perhaps, I just have too much on my mind lately.

It was my intention to divest partially at resistance and to keep some in case price should go higher. This has always been my style. Today, I made a mistake and sold all my stake in Golden Agriculture at 70.5c, the immediate resistance.

It makes sense to sell some at 70.5c not only because it is where we find the declining 100dMA, it also makes sense because of the declining volume as price tried to move higher in the last three sessions. A pull back would not be unreasonable.

Indeed, with the ADX suggesting a lack of any strong trend and the Stochastics showing signs of overbuying, we could see a pull back. A pull back would find immediate support at 68.5c. Breaking that could see price going lower to 66.5c. In a pull back, we want to see a higher low formed.

Of course, we could also see price moving higher although the candlesticks formed in the last two sessions, together with declining volumes, are somewhat uninspiring. Next resistance is still at 72c. Good luck to all still vested.

Tea with AK71: Korean noodles for lunch.

I had Korean noodles for lunch. No, I did not go to some fancy Korean restaurant nor did I go to a food court. I cooked the noodles myself in my office. Yes, you guessed it. Instant cup noodles! Well, in this case, it would be more accurate if we call it instant bowl noodles because it came in a big bowl! Oh, fork included too.

I have seen these noodles before and they are usually quite pricey. Yesterday, while shopping at NTUC Fairprice, I saw it under the "Must Buy" section and they were sold at $2.95 for three bowls! That is less than a dollar per bowl! Irresistible and I finally got to find out why so many people I know like it so much.

Chopsticks not included. I always have spare disposable chopsticks at work as I would take an extra pair each time I make purchases at the food centres. They come in useful in times like this, I dare say.

The noodles were cooked in five minutes. The spicy aroma was really mouth watering.

The noodles are thicker than the usual Myojo or Maggi variety. The soup base was full bodied and spicy. Not for anyone who would find hot food a challenge though. One bowl of noodles and I was really full. A tasty and value for money lunch!