In the past few weeks, some HK listed companies mentioned that they want to list in Shanghai and their price jumped on the news eg. China Mobile. BEA, HSBC etc.
The same situation is happening in Singapore. Some S-Chips expressed their intention to list in HK and their price are jumping...
I would go back to basics. Look at the company itself. If they have just reported a 40% decline in EPS, whether they list in HK, Spore or Shanghai, do you think people would be interested in their stock ? Do you think the HK people are that stupid and would be lining up to buy a S-Chip ? They are spoilt for choice in HK and can buy the big SOEs. So why would they wanna buy a small dinky S-Chip company when they can buy the govt supported SOE ? And how long is the process to list in HK or Shanghai ? And how many companies are in front of them in the line ?
Traders always makes use of positive news to pump up the price and then later dump the shares. If you think you can run faster than these traders, then by all means try your luck. Dont regret later and complain that you did not take action to buy. Now's your chance to buy .. LOL
Do you remember the time you were chasing the S-Chips becuz a few "expert" Analysts were saying that the QDII would be flowing to Spore ? So where's the QDII money ?
It's all about "how much you made when you were right" & "how little you lost when you were wrong"