Monday, August 06, 2007

STI Exhaustion Gap?


Following last Friday's sell off in US, STI had a huge gap down which promptly broke the 3400 perceived as a strong support last week. We have now closed below an important trendline support. I observed that the closing today was at resistance turns support and also at Fibonacci 50% retracement, rebound can be on the cards. Hence I turned long one STI CW. One can feel despair, fear and panic in the current market with many decided to throw in the towel. I went long because i see this gap down a possible bottom. Otherwise 200MA here we come...

DJ is now trading around 13,200 support and Fed's meeting is on Tuesday night. If only they hint about reducing the interest rate.....

GrowMoney Growth Fund
Jasper
HLH
Poh Tiong Choon
Yongnam
LC Dev
TiongWoon
STI CW

*Added STI CW today

DISCLAIMER: This is not an inducement to buy or sell. You should do your own analysis on top of my postings.