Everyone got a rude shock when market opened today...it was widely believed that US had rallied overnight and we should have our own version. How wrong we were! Market begin to show weakness right from the start and even I was worried. What did I do? I choose not to look at the actions. Yes! This is one way to stop fear manifest in me. Psychology in trading is very important. Find ways to contain your fear and greed! At closing, we saw late buying and index pushed to close -4 versus a heavy -13 experienced intra day. This is very healthy for the uptrend. My best rosy picture is selling for the early part of the week and close up strongly by the end of the week.
No breakout gems today. I saw some counters like Hyflux, Cosco, MFS, KS Energy, bio-sensor breakout in 50 days average volume. However they do not have a convincing chart formation to compliment with. Please refer to the following formula.
Chart formation + Volume Breakout == Higher probability of massive profit
Chart formation is very important in breakout. As mentioned before, it identifies the natural consolidation, corrections and distributions stages of the stock. Hence i'm more wary of false breakout without chart formations.
Currently i'm also trying to learn bottom fishing....will share with you guys when i got it figured out. Meanwhile please continue to support my blog. Thanks! :D Huat ah!
Thanks all those who supported my blog and charity yesterday. : ) Please keep it coming!
