With China buying very key assets in Malaysia from land bank to oil refinery (PD refinery not just any refinery one which does 156k bpd and with 90% consumed locally) they hv added another stake in their global holding and into the world market. Even with TPPA in place a global movement of supply chain can bypass many eyes
Today a lot of us are playing share market like a chess game. We react on each of the move market throw at us. Because of the current economic situation, we take safe haven of Friday, or public holidays in case of undesirable news. We sell at slightest non conformity to market movement and we deliberate to buy cheaper and cheaper. How do we explain 1. Why the market moves when it moves unexpectedly while we wait to buy cheaper? 2. Why most of the time when we sell the stock move up?
Here are some of the possible reason 1. When a situation becomes oversold with high volume "panic selling" we hv to identify whether it is genuine panic button pressed or due to non conformity. The first thing you should do is to determine the buyer and seller demographics. Eg. If the daily queue volume is avg at say 1Million, and you hv an immediate single seller at 100k volume for a share price of RM2.00, this requires attention. If the same seller subsequently goes down and sell at buyers' price, the buy rate will drop. This maybe deem as premeditated selling. 2. However if the seller never queues at sell but goes straight into buyers buy queue with sizeable volume shared in (1) likely it is panic selling esp after a price stalemate over a long period. I am not concern with this type of queue especially when it happens without reason at between 10 - 12.30pm queues. Most of the time it is this selling that prompt the market to rebound very quickly. 3. A good market is one which allows daily equilibrium to set in between 9am to 11am earliest before committing a buy or sell. The 9am to 11am are deemed most emotional to morning news and concern. 4. In most cases, "panic selling " situation garners a lot of support esp during this turbulent economic environment. So many experience players here will decide whether a rebound is in the horizon and avg down or follow as with herd mentality. This differentiates the rich players from the experience investor/trader. 5. An experience trader plays within the band of support and resistance. He does so by not committing entirely at any one support or when it infringes a resistance. This is because his rule as trader is 10% to max 15% at any one breakout must be a sell. This is why I say it is a traders market more now! 6. What about investors then? My interpretation of trader is holding trades of within 3 mths (max 6 mths) while investors are anything above 6 mths. All this is very much inline with GDP reporting (2 Q) and financial performance reporting every Q. Hence investors need to see 6 mths into the future in terms of economy, political, catalyst. we will hv a likely change of Bank Governor in Apr, whilst quarter performance 2016 in Mar, US presidential run up till Nov 8, etc
i always get uneasy when someone says anything about 'reading my body language' - reading or staring? lol. anyway, reading and timing the market? that's a dangerous way to make money.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
kingcobra
2,772 posts
Posted by kingcobra > 2016-02-02 09:06 | Report Abuse
are u so very sure regarding export related stocks???????? are u god??????????