Thursday, November 29, 2012

DIGI Always The Smarter Choice

Yes, DIGI always the smarter choice! Do you agree with this tag line? Do you have problem with its network? Do you experience network speed and high availability issue? As per I know previously, Digi always have slow network, unstable and limited coverage area. That should be the reason it loss the market share (Maxis 38%, Celcom 33% and Digi 28%). In term of package now, I think Digi are cheaper compare to other Telcos (Maxis, Celcom). A few of my friends are changing to Digi because of cheaper package!

Do you know Digi currently in the midst of upgrading all the networks? They call it The Tomorrow Network across Malaysia and scheduled completing in 2013. Once ready, Digi will be Malaysia's 1st LTE-equipped network ready to serve fibre-like speeds to upcoming LTE mobile devices. The network coverage will expanded to 95% for its high speed EDGE, 3G with more stable networks and consistent speeds. How true is true? Well, I not really sure as I did not have the chance to FEEL it. Digi subscriber should be happy by now if the upgrading of networks works at your area. Must have the FEEL good factor! Hope this will improve their network performance and attract more subscribers and increase their market pies! Having all this set, than I will be in the waiting list for Digi . :)

Now lets see how is the stock performance? If we are going to invest in long run, I would say it will be a smarter choice to own Digi shares. The shares price able to sustain the broad market sell down in the pass few days and hitting low at RM4.50 (the important uptrend 40-day moving average). A rebound  from this level means that in futures, investor should looks at this level as important support before initiate any sell decision. The current resistance stood at RM5.00~RM5.30 which will indicate the direction it will be heading. Increase your position only when this level are convincingly breakout. Do take note that when shares price falling below the RM4.50, the next critical hold up level for Digi will be RM3.70~RM4.00 (100-day moving average). It seem there is possible this level will be tested if the market condition is not improving in coming months. 

Personally, I see the upside potential for Digi will be limited. It will be entering into consolidation mode soon (medium term) before further price advance can be seen in futures. Overall still a good stock for investment. Cheers!

Happy investing and Good Luck!

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