• SET is likely to trade in a narrow range between 1360 and 1380 points ahead of the Songkran Holidays Festival and due to a lack of fresh trading cues. Trading volume will likely remain light while there is also higher risk of profit taking before the closing bell given the long holidays.
• Since US earnings reports started rolling in, investors appear to shift focus to domestic factors.
• Institutional buying of equities yesterday shot up to roughly Bt2bn but average daily trade was as low as Bt28bn. Trading volume seems to remain uneventful today.
• During Thailand Songkran Festival, the world’s large oil producers are to meet at Qatar on Sunday April 17. Hence, the world’s crude oil price is very likely to be volatile, which could affect Thai energy names at the open.
• For short-term strategy, trade in a range of stocks that will benefit from the government’s stimulus measures e.g., Songkran tax deduction and mega infrastructure projects. Note to keep equities at 40%-60% of investment portfolio.
(1) Tourism recovery play: Let profit run on long positions in AOT, CPALL and SPA.
(2) Momentum trade: Go long JAS and CK for speculative trading.
