AIRASIA 5099 BUY, SELL, or HOLD?
From mid of Dec 2016 until mid of Jan 2017, AirAsia has hit its lowest around RM 2.18. The main factor of the price drop I believe to be the action of injecting capital into AirAisa Indonesia (see link). This raise the investors' concern on the financial stability of the company.
Due to this factor, the market has some fluactuation, what is the action to be taken?
Again, I like to differentiate it into short/medium term investment and long term investment. However, the recommandations below are just a guideline, always do your analysis before perform any transaction.
RECOMMANDATION
Short & Medium Term Investor
Based on my recommandation on 13th Nov 2016. I advised that sell it at RM 2.80 if possible, or else cut loss at RM 2.30, where the price is sitting around RM 2.50 that time. As of the time I am writing, the price is now around RM 2.50 too.
If you do sell at my recommanded mininum of RM 2.30, and buy back at RM 2.20 (around the lowest it hitted before), by now you should earn around 20%.
- For those who still hold it, my recommandation is sell it around RM 2.50.
- For those who yet to bought, buy it at the price not higher than RM 2.20.
Long Term Investor
Whereas for long term investor, my recommandation remain the same, except now you can adjust your target buy in price from RM 2.50 to RM 2.30.
If you bought AirAsia at the price below RM 1.50, keep holding it because I believe it is hard to have the chance to invest again at that great price.
- For those who bought, hold it.
- For those who yet to bought, buy it at the price not higher than RM 2.30.
My defination of Short, Medium, and Long term investor as below.
- Short Term: 3 years and below
- Medium Term: 3 to 6 years
- Long Term: 6 years and above
I am individual trader that looking forward to make friends who share the same interests, you can always drop me an email via angs.investment@gmail.com if you have any ideas would like to share with.
Last but not least, I wish you all a HAPPY AND PROPERIOUS CHINESE NEW YEAR ! HAPPY TRADING !
Please be reminded that above is just a recommandation, digested the info and make your own decision. Good Luck!
