Stock pickings

For readers of this blog who bought into the O n G counters , congratulations ! ...many of them have recorded gains of between 5 to 20 % in 5 short days and if you subscribe to the time deposit return comparison ,the gains seem astronomical...either way it is still a good start to the new year...

The volume  today is at its highest for the year ( just a few days into the year though ) ..All things being equal ,it augurs well for the stock market in the short term...Renewed strength on many second and third liners have added market breadth , a phenomenon missing for quite awhile..Although not really out of the woods yet nor is anyone
"sure" of the tenacity of the current upward thrust ,most can take comfort in seeing reduced paper losses on some non performing stocks and that is good enough news for now..O n G counters have continued to hog the limelight but other sectors ranging from infrastructure to property are beginning to show promise..

That said it is imperative for players to be able to pick winners..As  the market may not "mature" into a bull market with so many market uncertainties it would help if serious traders do  lots of homework during off market hours and fine tuning the choice of "likely" movers when the market begins trading in earnest. As I have talked about in earlier blogs,  there is no foolproof trading technique /investment technique but my preferred technique of Price Action Technique have assisted many clients with both short and medium term trading horizon in securing respectable gains. Regardless of techniques a disciplined trading approach is important. A keen mind coupled with an astute sense of judgement are key ingredients of successful trading..
 

Weighing newly disclosed project /contract awards against traded volume and price movement over preceding periods on top of studying chart patterns are just examples of homework that any successful
trader needs to do..existing stock fundamentals and sector the counter is in together with share holding
structure all play a role in determining share price movement ..

Lets hope the market continues to grow in strength in the coming days and makes everyone a winner.

Thank you

Chris Choo

http://traderight88.blogspot.com

chrischoo007@gmail.com