After a blistering start last week, we ended the week just as we had begun at 2300 levels. Pressure of inflation on US economy weigh down the market even though we have a solid Q3 GDP. There could be another test on the 2280 there abouts support of the STI. It could be a good time to do some fishing of stocks. But if it cuts through that support, I will cut positions.
However, US economic data showed that inflation fears were overdone and we saw how Dow and Nasdaq reacts. With seasonal earnings coming up. The earlier sell down could have offered excellent risk/reward chance.
As for Simsci, I had adopted the fish at bottom or buy at breakout strategy. Here are the highs and lows of 20 and 50 days period.
20 days
High: 279.9
Low: 269.0
50 days
High: 282.4
Low: 267.5
