Monday, August 07, 2006

Market awaits big Ben's speech

National Day is drawing near and we did not have a very joyous reason to celebrate NDP as yet. Market as been hesistant in rallying. Market will be closed on Wednesday and we will not enjoy any reaction to Ben's speech happening on our Tuesday night. Initially I thought of anticipating Ben's speech by buying index warrants. But a worse case scenario puts me off. It goes like this..... Tuesday night, Ben says he is not increasing rate hike and or he increase but say it's the last, market like it and spark off a great regional rally all around on Wednesday but us!! Yes! Because we are closed. On Thursday profit taking sets in and regional indices retraces in tantem and STI follows suit!! Remember while other index are having a field day, SGX was closed...hence it's not worth the risk for me.

I shall buy when I see reversal pattern on some of the stocks i have been tracking. I always try my best not to preempt the market by my gut feel. Let the reversal pattern occurs and I shall buy at the "right" time! I saw chinasun and sino retraces with relatively lighter volume...and if i had not been discipline enough, I will be holding at a high! Rather, I would like to see strength and buy signal before going ahead. August will be a tough month to crack.