There is a saying : "Follow the Money", It is not a secrete that asset prices grows when there is money flowing into it, in particular 'Hot' money. It pays to monitor this flow. The following chart tracks the weekly trade participation since May 2013. It shows how much net trades excuted by Foreign institution(green), local retail(red) and local institute(blue) in RM million. A negative value is net selling, positive value means net buying. The FBMKLCI index is overlayed to see if it does influence the overall picture.(Data Source: Inter-pacific securities sdn. bhd.)
Week 11 comment:
Foreign Institutions sold heavily last week. loading off RM989.30 million worth of equity. No surprise as the KLCI index has fallen with this out flow.