deedee - if you draw a line on the price chart between the 2 dates and another line of the corresponding dates on the RSI chart, you will notice that the gradient of the price line slopes down at a higher degree while the degree of the RSI line gradient is very much less, signalling a potential shift in momentum. Actually, the term I used is misleading because the RSI line is not sloping upwards. Sorry for that. Perhaps, "traded with a price/RSI divergence" maybe more apt. But, still, the difference in the gradient of the 2 lines gives us an indication of a potential shift. Usually when the price trends down, the RSI trends accordingly but when there is a difference in the gradient of the 2 lines, when one line goes up/down and the other goes in the opposite direction then there is a potential bullish or bearish shift.

Dino Limo - Pelikan: To add on to SF, it is bullish after breaking out from the resistance line of its flag formation (a bullish continuation pattern) on 8/5 giving a buy signal. Its new support price is now 0.935 and if broken, should find strong support at 0.885.

TP1 = 1.01 ; TP2 = 1.09 ; TP3 = 1.21.

We won't know when it will retrace or how long it can rise but we can look out for any bullish reversal patterns for indications. This is where TA becomes useful as a guide. Pelikan is now bullish on wave 3, usually the longest and most profitable wave.

SF - thanks for analysis.

deedee - GHLSYS: From 29/4 to 5/5, it traded with a price/RSI bullish divergence signalling a potential bullish trend. The spinning top formed on 6/5 suggest sellers exhaustion and this time it followed up with a bullish marubozu candle reinforcing the upward trend. Looks bullish with a gap up today.

Immediate support = 0.755 (seems to have found a bottom here) ; Resistance 1 = 0.895 & resistance 2 = 0.93.

Isy7 - you are welcome.

Dino Limo - GSB: Trading in a very tight range with support at 0.10 and resistance at 0.115. Seems to have found strong support at 0.10. Major resistance is 0.13. Unless there is a catalyst or a spike in trading volume, you can expect more sideways trading. Due to its tight range trading, trading its support and resistance levels will not be very profitable.

fungzz - Ideal: Hit a high on 14/4 when its OR was still trading. Formed a bearish engulfing candle on 15/4 to pre-empt a bearish trend. The resulting selling pressure brought its price down to 0.265, which is now the immediate support level. It is forming a bullish candle today on the back of a very high volume (about 13 times above MA Volume)but it needs to clear its immediate resistance at 0.355/0.36 to confirm its bullish trend. If cleared, it will re-test its targets at 0.46 and then 0.56.

Joyous - I am also not qualified to teach TA. TA is a very wide field and I know enough for trading only.

Matrix - you are very humble. I learnt TA from you too, remember? Just replied your email.

Sorry Matrix, our post cross again.

Joyous - KTB: Some contra players will be flushed out but how many, we will not know. As Matrix mentioned, there was a buying frenzy yesterday with a volume spike and price hike. So, the selling today could be due to a few factors like contra players, buyers who have been holding this share previously clearing positions for small gains and also probably some panic selling when price trended down as soon as it opened at 0.295.

As Matrix analysed, whether its bullish trend will continue would depend on whether it can take out its major resistance of 0.32.

winwinborn - CCMDBIO: Just to add on to htyeap125, it is riding on wave 3, the bullish stage, and will need to overcome the resistance of 3.06 before continuing its upward trend.

Matrix - ok. Pretty busy these few days too but will help when possible.

Congrats on Minho. Managed to do a quick trade on it for some quick profits, thanks to you. Lying low at the moment because i have been pretty busy with not much time to monitor the charts. I am also monitoring Engtex & also Salcon & Insas.

Dino Limo - generally, we compare the daily volume to its MA (Moving Average) Volume and a look at its historical volume can also provide you with a guide. Different counters at different prices can have different volume characteristics.

Matrix/Novice8 - Engtex: Mat, you're right, it could have found a support base at 1.89

connie - just saw yr comments. Thanks but my TA knowledge is just sufficient for me to trade. Anyway, will buy you more sashimi and whisky.

Matrix/Novice8 - have cleared my GOB when it weakened towards my stop loss for a small loss.

connie - oh so sorry, sorry. Now I cry. Don't worry, sephi will come have words of comfort for you.

connie - ha ha ha.... how about 1 min 2.3secs? Sorry, just like to poke fun at you.

connie - just a quick good afternoon to you and gang here. Thanks for sharing this very very good article. Good reminder for me too.

winwinborn - Latitud: Found support at 2.59/2.60 after its immediate support at 2.70 was broken. Currently, consolidation appears to be over when it broke out with volume on 2/5 to continue its bullish trend. Very bullish with accelerated momentum. The gap up price of 2.78 in now its immediate support price while its immediate resistance is now 3.10. It should be testing new highs. Hope you are making good money on this one.

Matrix - not at all long winded. Very concise, clear and easy to understand. Thanks.

connie - Hi. Hope you made tons of money today.

novice8 - that is wise. Do not chase the price if it does not agree with your trading plan. There will always be another opportunity.

inwest88 - thanks. Really good to see you back.

miracle4faith - you are right. Take the good stuff and ignore the bad.

TImo Lim - Welcome. I did an analysis on GOB earlier (May 1). Here, we share TA analysis and information but we do not recommend counters and neither do we advise when to buy or sell. The investment decision is solely made by you yourself. However, Matrix do strongly advocate that all traders have a trading plan before they trade in order to minimize our losses and maximize our profits.

My average entry price for GOB is 1.01 and is a short term trade for me with a stop loss price at 0.97. Different persons trade differently depending on their risk profile, trading objectives and capital outlay. Sometimes, we can also be wrong in our trades in that the price turns against us and we will need to cut loss at the stop loss price. I hope you understand.

Please feel free to share any information on any counters.

Novice8 - BJAuto is very bullish today.

novice8 - good morning. BJAuto does look bullish with the dragonfly doji on 29/4. Immediate support is at 2.00/2.02. Volume looks promising too. Are you in?

choolooi - very well put. Agree with absolutely.

Just as with everything else in life, there are ups and downs and average times and sometimes we are on a roll. My philosophy is when we are on a roll, be proud of it, take it all in and enjoy the moment.

For most traders like us, we know that traders like Matrix do not have moments like these because of pure luck. Behind it, there are a lot of hard work in analysing, planning, and the guts to commit to a buy or sell. Sometimes, also frustrations with some trades. We take the good and the bad and while we are on a roll, Enjoy the moment, because we deserve it!

(Sorry to sound so philosophical)

Matrix - Wow, congrats again. That is indeed a very very good month!

connie - ok. How does shashimi sounds?

connie - ha ha ha... don't make fun of me lah. Lots of expert here. Oops, time to go for dinner now. Today will have a long dinner b'cos brother in law belanja.

connie/ct/hawk/chrissy/whoever is here - Happy Holiday.

Matrix/SF - Sorry, on the Elliot count, Willow is on wave 3 which is stage 2, the bullish stage, of the 4 stage cycle.

Matrix - so used to hearing you visiting foreign countries like Jeju island, Shanghai and Istanbul and now, you are "visiting" places like Twin Towers and Batu Caves and Genting Highlands .....Ha ha ha........

inwest88 - great to hear from you. Thanks for your kind words. Happy to be able to assist together with the other guys like SF, HTyeap and the rest. It would be a wonderful surprise if Liverpool can win the title but you are right, there is still a chance although a slim one. Even if we finished 2nd, it is still a good achievement considering the thin squad that we have. Got to count on Everton now - like politicians say, there are no everlasting enemies.

novice8 - still monitoring Padini. Still not comfortable with the selling pressure.

wongchowsang - SBCCorp: Just to add to SF, from my interpretation, I believe it is now undergoing wave 4 which is a corrective wave, which means you can expect some more retracement bringing the price down. Only after this comes the upward wave which you can expect price to move up. I hope this helps in assisting you in your trading decision. And you might also want to check the fair value of the share to see if you have bought at a very high price.

Thought I share my trading plan for GOB.

GOB - Hit a high of 1.22 with the doji on 21/4 before subsequent profit taking and later panic selling on 28 & 29/4 brought it down to a low of 0.935. Has retraced 93% from breakout on 15/4. Bought into this counter today for a short term trade after it managed to sustain above 1.00 with buying support. It opened with a gap up today and tested and found resistance at 1.04 before resting on the 1.00 to 1.02 range. Appears bullish at the moment but may not be entirely out of the woods.

Immediate support = 0.935. Next support level is at 0.915. Immediate resistance = 1.04. 2nd resistance = 1.12.

Average entry price = 1.01. TP1 = 1.07 & TP2 = 1.12. In view of the volatile market, my loss tolerance is low, so my stop loss price is at 0.97. Will clear entire holding on any sign of weakness towards 0.97.

Matrix - looks like you will be a temporary tour guide. Am starting to trade into GOB. Will do the write up a bit later.

Padini seems to be forming a support base between 0.98 to 2.00 with declining selling pressure and also declining volume.

swee_on / kheng - good morning

novice8 - thanks for the GOB alert. Possible change of trend but need to see if it is sustainable.

choolooi - thanks for the highlight. Still detect weakness in Padini.

Connie - thanx. Ha ha ha... sephi wants you as his 2nd breakfast!

Connie - gee, thanks a lot. Tommorrow I can take 2 hrs lunch but 1st must make a bit of money in the mkt today for lunch!

Connie/Chrissy - good morning.

Novice8 / Matrix - good morning.

Matrix - good to hear April was good for you. It was not so good for me. Although managed to lock in some profits, had to clear others when they hit my stop loss. Hope May will be much better.

Good night, matrix.

miracle4faith - thanks for posting the info. This info itself could be a catalyst. Of course once more details comes out with regards to the amount of the contract, duration and commencement of the contract, and whether this contract is sufficiently large enough to transform its losses into profits, then we can adjust our trading strategy accordingly. Our trading strategy could be for a shorter term if the contract is not sufficiently large and we may have a less tolerant stop loss price.

miracle4faith: I am not aware of the reply. But yes, if the o&g agreement is finalized then it would be a catalyst for Wong.

novice8 - no, I am not in Padini yet. Yes, we are in the same Prtasco boat.

matrix - no, I am not in GOB as I am still monitoring it. The price movement still looks volatile. Probably let it settles down first then see how it goes from there.

But I did buy in to Prtasco when it dipped below 1.90. I am still holding Prtasco from my earlier buys as it is my mid-term investment. I understand they just declared a 6 sen dividend today.

miracle4faith - vis and wong have weak fundamentals. They recorded losses in 2013 and unless there is a turnaround in 2014, I would not trade it. Also, the price swing defies logic. Wong is currently under UMA query by the Securities Commission.

miracle4faith - it is quite normal for traders to want to buy in when there is a sell down as many counters will "appear" cheaper now. But do bear in mind that cheap can become cheaper and in turn can become cheapest! If you want to bottom fish, do monitor the charts and indicators for a reversal pattern or for price to bottom out and volume is important here.

I am currently monitoring GOB which has retraced by more than 61.8%.

matrix/choolooi - well said.

miracle4faith: TDex - in line with the weak market sentiment, it has come under profit taking pressures and is currently consolidating. Major support is at 0.20 but it appears to be facing stern resistance to clear 0.235. If the immediate support of 0.22 fails to hold, it will test the support at 0.20 Selling pressure appears well absorbed for the time being and if 0.22 holds, it could be poised to continue its uptrend.

Matrix: Share the same thoughts as you on 3A. The risk is very low because I think there is a high probability 0.88 will hold. Even if it doesn't, I will clear at my stop loss of 0.87, about a 2.7% loss which I can take. In fact, I was waiting to get in below 0.90 which it did only in the afternoon.

Yes, your observation is true. When the market is down, most traders are down as well and most will prefer not to look at their screen. I suppose it is not easy for traders to detach their emotions from trading. But this is one important factor that we need to try to control. If not we will behave irrationally in our trades and it could mean suffering tremendous losses.

I always believe that anytime is a good time to trade. As long as we have analyzed a stock, came out with a trading plan with entry and exit prices in place, we can trade any stock anytime any day PROVIDED we carry out the plan with discipline. Most traders, I think, has a problem with cutting losses. Unfortunately, this is one of the most important aspect of trading that we need to master. I guess we need to take the good and the bad of trading.

gerry188/matrix: humnbled by your kind words but just like everyone here, still learning new stuff everyday from all the postings. I am one of those who paid a substantial school fees during my early days of trading.

Matrix: agree with you absolutely on 3A's strong support at 0.88. I took position today at 0.895. I think there were some panic selling today in view of the weak overall market sentiment.

Joyous: I think the sell off today has a lot to do with the Ukraine crisis. The Fed meeting this week might have thrown a caution to some people but I don't think it will impact on the local market much as we can very much expect what they will do - keep current interest rate stable & expedite QE tapering.

Matrix: Thanks. Yeah, Liverpool lost due to a school boy mistake by Stevie - the ball slipped past under his boots. Cruel way to lose but thats football. Guess there goes the Champions spot. It is for Man City to lose now. At least we gave it a shot and something for the fans to be excited about.

No, I am not in Minho. Just a response to JamieO's question and at the same time practice a bit of wave reading. Thanks for the 3A pointers. Appreciate it. Will try to trade it this time.