This is the second session where we open higher only to close lower. Intra day wise, selling seems to be well absorbed. But clearly the buying mood was not present.
Again, in my screening, i observed property counters are still weak and STI is showing a negative divergence. Plenty of forgotten stocks started to rally. These are textbook warning signs. With Dow Jones holding well and advancing, we could be dragged along without convictions. Price objective of Dow Jones is within grasp and with earnings season coming up, i wonder if there will be a sell on confirmation(good numbers were expected) situation. 18th July will see first set of inflation data being read. With such a ferocious rally, there are plenty of room to fall if the numbers turn out unfriendly.
Last Friday added ChinaTranscom to my growth fund.
DISCLAIMER: This is not an inducement to buy or sell. You should do your own analysis on top of my postings. Copyright © 2006 GrowMoney Blog. All rights reserved.
