The moment i have been waiting for has arrived. Follow through buying... once i see this sign, i know what i should do next and i promptly did it. The follow through buying in props caught my attention. No doubt i can buy it in the morning when the market is weak and soft but surely it is the strength in the afternoon that convince me that my opinion is right and thus i can only act upon the latter.
I have took profit on my Wheelock.. just couldn't stand it's turtle pace. The name already said it, i was slow to realise.... Wheel lock... the wheels are locked how to run fast???? Furthermore i didn't grab it near the low and if a retracement happens, i am at a disadvantage. I grabbed Wilmar instead. The fundamentals is without saying - BAGUS! The chartwise, i always like stocks breaking into new highs in bull market because experience tells me, they tend to trade higher and higher. The expensive will always becomes more expensive. Also it is dealing with palm oil. With the collapse of USD, commodities and crude oil tua cheong.. this resulted in palm oil also tua cheong. No doubt central banker will not allow USD to totally become banana notes but i am in no position to guess at which level they will do that. Thus i follow where the market is going for now. Since there is follow through buying, my next anticipation is we go take out the last high in a rotational fashion. This means any dips may be a good chance to load up more. I will be watching volume on retracement days and supports to latch on to props and banks to complete my purchase. It is never wise to overload in one particular sector unless one has privileged information or strong reasons for their convictions on that particular sector.
As for my HSI, gosh... up by more than 1300 points in 3 days??? I couldn't cut today as it is pretty silly to be cutting loss right at resistance. Thus i have decided to bid my time and watch if there is a technical breakout on HSI. The indicators already points to a technical breakout. But i shall not be a smart alec and pre-empts this market. Following my recent loss in form, i need to be patience and carve out a 20% returns first before i resume bigger positions. This is what protecting capital is about. No profit to risk, i trade small.
It's amazing how when i read those trading books about how some traders will encounter the inevitable losing streak and right now i am in the middle of one! The toughest battle i am fighting isn't on the charts... it is with my own emotions.. it feels comforting to go into a self pity state but yet, i know in order to break that losing streak is to remain positive. It is a really unnatural thing to do but do i must. Market never changes, T.A works all the same... it is the individual who is the weakest link.
DISCLAIMER: The contents in this website are for fun reading and must not be taken as a buy or sell advice. You must do your own analysis on top of my postings. By reading this blog, you agreed that i am not responsible for your trading.
