Merry Christmas!

Gosh! Time really flies and this is the 3rd Christmas greeting coming from GrowMoney Author. : ) Journey thus far has been very fulfilling and i have so much fond memories but as per usual, i will leave the reflection on my trading career on the last day of the year. haha

24th will see our minimum bid size changed. I wonder how this will affect the index movement... Friday was a good good day... regionally most index charts finished with a hammer pattern. It will be wonderful if we can close a white candle on the weekly for the coming week. After the clean clean flush on Monday, we never looked back and the rebound was completed by Friday. S shares roamed the top volume charts. This reminded me of the QDII fund...some say it will start in Jan...

My game plan going forward is still to track HSI, plus my system has picked up a stock few stocks.

GrowMoney QuickPicks
IndoAgri
Noble

I will be looking out for a quiet 24th and market to trade flat.. that to me will be an excellent chance to load light into the holidays. With so many writedowns by the banks and the government with foreign investors happy to provide liquidity to the credit crunch, the market may not die yet. Especially when bad news after bad news keep coming into the market and Dow Jones stood firm.. I like that.

Finally, Merry Christmas to all! and May all of us have a Bountiful Year End rally!

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

STI dips under 200MA

"The bulls have their fun above the 200Ma and the bears have theirs under it" This is a popular notion at Wall Street. STI today officially trades under the 200MA. Going forward, it may retest the 200MA line, and if we are unable to trade and close above it. Better have a CFD account on hand and let us start to use 4G1R system to profit from the downside. As mentioned, this trend trading system picked up short sell signals last Wednesday night infrom of 180 participants at SGX... not exactly a beautiful sight but at least it reminded us that we can profit from the downside too. If you are interested, you may want to join me and the rest of the ChartNexus team at Capital Tower to find out what exactly happened on 12th Dec 2007... what 4G1R are we talking about... full details are at www.chartnexus.com/events

I went long HSI on Friday. HSI closed on my trendline support and I reckoned it was a pretty opportunity. Yeah, you can imagine my disgust when HSI tanks 1000 points by lunch! haha It is never easy to take a loss. Before you hit the sell button, u will have hallucination of a rebound when you sell... you will feel the pain when you realise your loss.... haha well well, i knew it only too well... all these are nonsenical reasons to hang on when I am wrong. Promptly I cut the position. I had a plan which entails what I wanted to do when things go wrong when i put up the position. If I am right about the trade, HSI should have rebounded back into 28000s.... for it to break the support means more selling may come and the next support i'm eyeing is at 25,800s thereabts. Why should I ride my losses down to 25,800s? Should I then hang on to the losing position and hope for a rebound? Well guess what? Even if there may be a rebound, HSI may head lower first and then rebound...rebound to where i could have sold... so in the end, it's LPPL. Wrong means wrong, cut my position and re-analyse.

It's interesting... very intresting... with the astrology date coming soon and we are heading down... coincidently, next week is last trading week of the year.... why does it sound like a plot?? We go down first until the bradley turn date and then trade higher due to window dressing??? hahaha

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

Major support levels tested again

At the seminar last night, we screened the market for signals.... 49 vs 1..... that is 49 sell signals vs 1 buy signal... so i was not surprised when market didn't head up today... but certainly i didn't expect it to be so bad!!! Nikkei started the rout during our lunch time. So when we came back from lunch, it was point of no return.

It was no surprise when the market came crashing down today. Last 2 weeks saw limited buy signals and what we got were sell signals. Most major indices were ripe for a pull back. Ironically, this sharp pull back maybe better than dying a slow death. It will flush out plenty of stale holders giving us fresh buyers when the bullish time returns. I still don't like the loose price actions in most stocks. A bull market doesn't react this way. Furthermore, it was very obvious that most of the stocks encountered heavy dumping on the way up. ChinaFish was one such example, i was tempted to buy at 1.83, but i didn't find the volume convincing and my opinion was the indices may pull back first. However Fish then went on to new high at 2.00 leaving me breathless and frustrated. If not for my colleagues beside me, only by using vulgarities would i be appeased. hahaha! Joking la, been in the market for quite sometime... situations like this already internalised. I make use of this incident to form yet another opinion. Because Fish was sold down to close at the low instead of the high, I knew a bullish market doesn't behave like this.

Now what? After this sharp pull back, I would be looking to see support levels holding... mixed market. Going up? I think the incentive to head up is still missing. 22 Dec 2007, Bradley turn date... going by astrology analysis, market major turning date.... let us watch how we trade before that date... 22nd.. hmm... next Saturday.. nan dao next week take position???

Another thing I want to share is the importance of managing our risk. If i had not taken my profits off the table quicker in this uncertain market, i would have been badly exposed. I think this is not the time to use trend trading system. Preferably swing trading.

Neither did I go short the market. This is because, with year end coming, there could be window dressing. Maybe after the dressing then short? Furthermore, this pull back is what i have been anticipating. Now my opinion is:

a) STI supported at gap. 3442 to 3397 thereabouts. If this level holds, i will tikam small. Basis? Higher low.....

b) DJ support at 13,200s level hold... then i shall long some call options.

c) My favourite Hang Seng... 27,400s should hold.

If you are one of the participant at this weekend's ChartNexus Technical Analysis Course, be assured that we will be sharing alot about price movement. So that you will know how to protect your positions or even make your own forecast! Remember, MAKE GOOD USE of the 2 full days to ask those burning questions!!!

For XPertTrader users, good news! Joseph has kick started the hand-holding session finally! This comes after the big demand from you. So those who are really keen to make good use of your investment in XPertTrader, remember to register your seat at http://www.chartnexus.com/events/details.php?eid=1126

US Economy numbers coming up!
Dec. 14
CPI
Industrial Production

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

SPH near 2 year high

Another bank fell under the subprime gong tao... This time round Temasek got vested. I saw Dr Tony Tan sitting at the press conference...it got me excited for a while because I thought SPH was the one whom injected the funds...keke needless to say as a die hard fan of SPH, it will be good news... but alas.. not to be. Speaking of SPH, it is now trading near it's 2 year high!!! $5 ? Akan datang. If Livermore is alive, he will be looking at this for sure. I shall look for CWs in anticipation keke... this is what I call pivotal point. Break, long, gostan we can go short. Definitely worth investigation.

Using XPertTrader to screen, there are still no buy signals and at least 48 sell signals. This is where market condition takes precedence. We are now waiting for FOMC meeting and that leaves little incentive for market to move up. Tomorrow will offer great opportunity! I be watching Nikkei and HSI's closing to get into position. It has shown in the past, market seems to know the news even before it happens.

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

Pull backs

China central bank raises bank reserve ratio by 1 percentage point - UPDATE
December 08, 2007: 04:39 AM EST

Now I know why the sudden dip in HSI on Friday. As usual, price always move before news. This is so classic. On the chart, HSI failed right at resistance. After the holidays I am looking for trades. This should be my own greed and gambling addiction. I feel so uncomfortable not having any vested interest in the market. I looked at stocks, but to me it seems like not a good time to get vested in stocks as of now. I screened and my system yielded no stocks. Remembering what Jesse Livermore said, "There is a time to buy, a time to sell and also a time to stand aside." By focussing on HSI, I want to be able to form an opinion on it's direction to trade. HSI should be supported at 27,500 thereabts. Even Dow Jones look rip for a pull back first. Same for STI. Recalling what I read about astrology analysis, 22nd Dec has a major turn date. It will be useful to track the movement up to that date. So long we don't pull to a lower low, i'm still optimistic.

Over at Singapore side, there are a couple of stocks look to be forming the classic short term price pattern. Monday should be another mixed day since Tuesday is the FOMC meeting.

By the way, I will be speaking at SGX Auditorium on Wednesday titled Trading Strategies Explained. This short seminar will introduce my style of interpreting MacD Histogram and find entries from uptrending stock or short sell in downtrending stock. What's more, we can use XPertTrader to automatically screen for the signals effortlessly. Saving precious evening time.

Full event details can be found at http://www.chartnexus.com/events/details.php?eid=1175

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

Mixed day

I cut my synear and lost brokerage today when it reverses all the way to my buy price with volume more than I would like to see. The big gap up in the morning didn't sustain and it fell back with heavy selling. This stock is bought in tantem to the rotational interest i detected for quickie and hence it is off the low and far from support. I feel safer to get out and relook. Especially I am still waiting for market to show me the direction then only would i take sensible risk.

Using my sentiment scan, actually we had a mixed day rather than a bad day despite some heavy profit taking going on as i can see there are stocks which hold their ground and their gains. However since STI has been up the last few sessions, maybe time is ripe for a pull back. I will observe how is the selling on the pull back... this should differentiate between healthy retracement versus bear reversal

For HSI, my eyes will be at the 29,600 to 29,200 levels, it is crucial to see how it trades there.

At the economic front, more bad news than good. The only reason propping up the market could be rate cut as Bank of England already cut rate. Hence after next Tuesday? If it's factored in, then......

Also on my 4g1r trading system, Semb Marine & UOB has a sell signal caught my eyes.

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

Convincing rally alas

I was told today's rally was the most convincing with volume and strong buying over the last 2 weeks. With 2 trading days left in the week, I will be observing the following:



a) No heavy dumping at the top

b) We see follow through buying

c) Normal retracement due to profit taking



I picked up Synear in a nick of time when the China shares were in play. Nikkei's after lunch U-turn made lunch hour very exciting and when SSE was up 2%, our market rallied after lunch. This despite a report saying funds are pulling out from local bourse in the morning and we reacted negatively to it. However we soon recovered by lunch time.



Looking at my portfolio, i had kept Jiutian & Chinawheel before I head for holidays. My strategy for these 2 stocks is to hold



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

Strategies on Banking sector

MAS said profitability of local banks will be affected by subprime issues. My opinion is, if market is to go anywhere, banks should show the way? If they are resilient and head upwards, i think it will be safe to tikam on the upside slowly at first to reduce risk and add on when proven right. Otherwise if they fail at support turns resistance, put warrants will be handy. Here are few strategies on warrants i have devised.

1. Buy very OTM PW with at least 60 days to expiry - will lose little if stock trades upwards. The trick is, when a stock is moving down, it will be faster than going up.
2. Buy slightly OTM PW with at least 60 days to expiry - will lose time value if underlying trades sideway.
3. Buy OTM PW with less than 30 days to expiry - will lose premium if underlying goes up

Notice I focus on the risk first instead of thinking abt the rewards? Alexander Elder said, "If you take care of your losses, your profits will take care of themselves"

I uploaded a cartoon made for my wedding night for your viewing pleasure incase you are bored with the intra day market.. keke

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

Firstly...identify market direction

In all my seminars, courses and even the newspaper interview done this year, i always stressed the need to first determine the market direction. The NUMBER 1 reason for most who lost money in the stock market is we don't know where the market is heading. This was why i failed in my early days. Think about it, if the market direction is heading up, shouldn't majority of the shares be heading up? If the market direction is coming down, didn't most of the stocks keep coming down? Hence I believe inorder to avoid unneccessary losses in the market, one should first form an opinion on the general market direction instead of focussing which stock to trade.


After standing aside the market for 30 days exactly to prepare for my wedding cum honeymoon, i lost the feel for market. This is the first time I have taken such a long leave from trading ever since I started persuing this life skills years ago. It was tough in the beginning as I fell sick due to trading withdrawal syndrome and this was 1 week before my wedding actual day. Forcefully I took my eyes off any financial news...it feels just like quiting smoking where temptations linger everywhere. I treat this as a test of my discipline. Psychologically I won. Really, learning trading has changed me so much as a person. Sometimes my ex-gf and even my sister complained that I am cold blooded and function like a robot. I don't know if you feel the same? For example, I no longer get into senseless argument where one must win for no good reason. I also don't convince people to do things my way for I understand this is how the universe works. Everyone is unique and does things differently. This is also how the stock market functions. There is no way 100% of the market participants will arrive on one single opinion collectively. That is why I often nodded or smile even if i don't agree with what I heard. I mean there is no need to impress upon others my opinion. It's just like we shouldn't argue with market direction! This bring us to the next point, I learnt to take failure in my stride and admitting to making any mistake. In life how many of us really likes to admit to mistakes? Most of the time, we will find circumstances as an excuse. That is why cutting loss when wrong is most difficult for most. And finally, my all time famous quote i read somewhere... "people tends to act out the way they are in the market and this is often leads to disasterous results"



Perhaps I haven't talked to myself for too long... gosh really long winded tonight! haha 1 more thought to share, technical analysis is indeed a life skills just like cycling and swimming... despite being away for sometime, the where to start, what to do just flow automatically when i analysed the charts. By the way, during the trip to Italy, i met Leonardo Da Vinci (Statue) and learnt alot about this man... hence I probably enhanced my fibonacci skills... wahahaha


With 2 seminars coming up, I need to get back my tempo and without saying of course market direction comes first! I won't be too anxious to hook up any stock position as yet. It's my style to always form an opinion then trade it.

My next stint is scheduled on 12th Dec.... titled trading strategies...interested party... u know where to register ...... www.chartnexus.com/events







DJ: I be watching for 2 situations:

a) We form a higher low and then breaks the red line.

b) We breaks the support where it is shown by the 2 arrows.



HSI: I am looking for the blue line to be supportive or the gap up.





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

执子之手，与子偕老

With my wedding and honey moon coming up, it's time to take a break from the market. I wish everyone tua tua huat and may the market leave some money for me when I am back in December.... Huat arh! keke

P.S I have taken my profit off YZJ inorder to cut down on my exposure. I shall sit through with the rest of the stocks that I owned unless the market really forces me to run clean clean.

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

Abnormal Market Behaviour

I do not like the way how market is behaving lately. Firstly, the recovery from the August low was too fast. Secondly, I observed that the price swing has been very wide and loose on the way up. This could be signs that the smart money are getting out. At the top, there shouldn't be alot of selling (volume) because there are limited over hang shareholders. The only explanation for the high volume is, smart money liquidating. Thirdly, the incredible run at HSI. Murphy law applies in the market too.

Inorder to cut down risk, i sold HongXin when the selling persist. I had wanted to ride this on the way up but the price actions has been too loose and i didn't like the wild swing. If everything is fine, i will look to buy back again.

I derive 2 opinions about the market.
1) Market trades in a range and we see major support levels hold.
2) Market breaks the major support levels and we crash south creating a lower low in price actions.

GrowMoney Quickpicks
SPC (Bull)
Ezra (Bull)
UOB (Bear)
SMB (Bear)

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

Focus on market not on paper gains/losses

A quick tip about controlling your psychology in trading is never to focus on the paper profits/losses. By now, this golden rule has been internalised. 4 weeks ago, I began to have doubts about my opinion on China shares when my growth fund is having measley returns. The paper profits did not bother me. I was focussed on the general movement of china Shares and the market as a whole. Even as of now, with Hongxin rocketing off the base, I am still feeling indifferent than when I did not make any money. Alexander Elder said, "Take care of your losses and your profits will take care of themselves". What this guru meant was to cut your losses small and ride your profits long. When Genting, Adv Hldg, Ausgrp are not moving the way I anticipated, I was quick to take whatever nett profit I had from them because technically, I was either wrong or early in buying them. When I am right in my trade, I will not be eager to take profit off the table so soon prefering to ride them as far as I can. The ability to ride the profits doesn't mean ignoring risk. Instead, it meant to know what are the risks and how to manage them inorder to ride the trend. To understand the risk, I derive this important information from Technical Analysis. If you haven't notice by now, price always precedes news. Those who are skeptical about Technical Analysis, you only need to look at Labroy Marine today. Is the news really that surprising? Well at least not to the technical traders for we already see something brewing from the charts.

Just another reminder, the last ChartNexus Technical Analysis Course will be held on the 15th & 16th of December 2007. With more than 1 month away, seats are selling fast. If you have always been interested to learn the art of trading, do not miss this last course of the year because, come 2008, the course fees will be adjusted due to the increased in hotel rates.

XPertTrader Screening Result
SSH (GrowMoney Trading System)
LianBeng (GrowMoney Trading System)
Biosensor (Bollinger Breakout)

P.S Running out of trading ideas? Are you confused over what to buy? With XPertTrader, trading opportunities never run dry. Get yours today! www.chartnexus.com

GrowMoney Growth Fund
HLH
Jasper
LC Dev
YangZhiJiang
Jiutian
ChinaHong
ChinaWheel

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

Red Army tries again

I sold my ausgrp at 1.81 (bought 1.81 4 weeks ago). During the 4 weeks, Ausgrp went as high as 1.92 yet i didn't sell for profit. It also went as low as 1.74. My trading system is trend following and I tend to sit on a trend. It became obvious to me that i am early in the trade. Also the recent movement of the market is, good news and bad news doesn't move the market. In 2005, we plunge after trading sideways. In 2006, we traded sideways and then surprise everyone in November by going on a strong bull run that leads us to 3k.

I respect risk. Although I still have a portfolio of stocks, i must agree readily that we are behaving like in a market top. The inevitable can happen. But, we will not know when. The only thing we can do is to manage our risk. When it happens, just remember to run away. The plunge from market top can take a few months to happen, so there is still upside to make from. This is why i will not just sell everything and wait for the crash to happen. Who am i to decide if market should plunge. The best thing to do is to form an opinion of what are the signs and take care of the risk.

Tonight i have more than 36 stocks in my XPertTrader screening. There should be a broadbase rally tomorrow. Best time to add should be during intra day weakness .

As November will be a busy month for me, there is only 1 Technical Analysis course. The last one for the year will be on 15th Dec. This course is computer based and many feel that it is very good to have the laptop for practise versus pencil and ruler with old charts. This is the last time the course is offered at the special price. Next year onwards, it will be charged at the usual rate. This is because hotel rates are increasing.

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

Is it really that bad?

Yes, the index does closed very ugly and that accross the board, bloodshed. However using my screening, i searched and found that despite the big sell off, we didn't go down further. Although this does not guarantee we don't go down further from here but I am able to produce 2 opinions:

a) in recent weeks, there wasn't any sucker rally and that mostly shares did not close up higher and i could feel a lack of participation from the retail side. Hence there will not be alot of panic selling.

b) DJ is near support at 13,400... it will be nice to see this level holding. Furthermore, alot of stocks are trading at their major support levels. If all these levels start to crack, my CFD account is ready.

I just concluded my course over the weekend and remembered something valuable which I have forgotten. As I introduced alot of strategies and techniques in the course, by the second day, I could usually see the "information overload" syndrome in the room. One participant asked, "So many things how to apply all" ..... then it struck me! Technical Analysis shouldn't be difficult. It should be fun and easy to apply. Hence my reply was, pick up 1 or 2 of the strategy learned and then slowly add on as you get comfortable. This way, it will be more effective and you can still have loads of fun. For the benefits of newcomers to trading, I urge you to learn price movement and identifying support and resistance first before even looking at indicators. Indicators can fail and WILL fail, it is the understanding of support and resistance with price movement which will limit your risk and LOSS!

As the market corrected today, for the brave ones, you might be wondering which stock to pick up if you believe this is the lowest market will go. Tonight, I made use of XPertTrader Fibonnaci rule to screen out stocks that had closed near the Fibonacci levels. Hence I can save precious time and focus on analysis rather than charts flipping.

XPertTrader Screening Results
No. Stock Name Triggerred Date Triggerred Rules
1 Allgreen 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
2 Biosensors 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
3 China Hong 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
4 ChinaAngel 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
5 ChinaAOil 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
6 ChinaPDye 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
7 CITYDEV 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
8 FerroChina 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
9 FORELAND FABRICTECH HLDS LTD 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
10 Full Apex 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
11 HG Metal 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
12 HL Asia 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
13 Oculus 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
14 Olam 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
15 Pac Andes 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
16 Penguin 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
17 Rotary 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
18 SeeHS 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
19 Sing Tel 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
20 SingHldg 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
21 Sky Petrol 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
22 StamfordLd 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
23 STX PO 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
24 Ultro 22 Oct 2007 ((Fibonacci retracement around 38.2% ))
25 AdvaHldg 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
26 AnnAik 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
27 Ascott 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
28 Asia Env 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
29 AsiaPharm 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
30 C&G Industrial Holdings 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
31 China Sky 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
32 CHINA SPORTS INTL LIMITED 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
33 China XLX 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
34 Dutech 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
35 FUJIAN ZHENYUN PLAS IND CO LTD 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
36 Hongguo 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
37 Jiutian 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
38 Manhattan Res 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
39 MapletreeLog 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
40 MiddleEastD 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
41 Ouhua 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
42 Parkway 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
43 SingPost 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
44 StarHub 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
45 Superbowl 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
46 Tai Sin 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
47 Wing Tai 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
48 Yanlord 22 Oct 2007 ((Fibonacci retracement around 50.0% ))
49 AllcoReit 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
50 BakerTech 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
51 BeautyChina 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
52 China Sun 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
53 ChipEngS 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
54 Contel 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
55 ETLA LIMITED 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
56 HLN Tech 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
57 Ho Bee 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
58 Hongwei 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
59 JK Tech 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
60 KingWan 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
61 Midas 22 Oct 2007 ((Fibonacci retracement around 61.8% ))
62 TianjinZUS$ 22 Oct 2007 ((Fibonacci retracement around 61.8% ))


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

Treacherous Market

Broad market showed weakness after lunch and many finishes off their highs. Now this trading pattern is very different from how we traded from 2006 through to 2007. Infact the last 3 weeks, market seems to be hitting invisible wall but yet unable to plunge. Screening through the market, there are still some individual stocks who showed strength. A quick check on STI saw that the RSI and 20SMA is supported and just yesterday we rebounded from that level. However there is a slight negative divergence on the weekly chart. So long daily chart holds, this divergence should be able to negate. Although market was down today... 2 of my stocks rallied. So long my stocks stayed up, market can swing all it wants! :D haha

Something about JiutTian, they are going to issue the warrants with strike price at 80cts. With current market price trading at low 60s, this warrant will only have time value with almost no premium since it's so far out of the money. I personally think the risk/reward favours. Well it all depends how much does the warrants trade. Furthermore, it looks to me a chart base is forming. My favourite characteristics are there.

Tonight, I'm going to share with you my own set of XPertTrader screening rules. These are the stocks i will study in more details tonight.
GrowMoney Quickpicks
1 AdvSCT 18 Oct 2007
2 China Hong 18 Oct 2007
3 Datapulse 18 Oct 2007
4 Epure 18 Oct 2007
5 Fung Choi 18 Oct 2007
6 Pan Hong 18 Oct 2007
7 SembMar 18 Oct 2007
8 SunVic 18 Oct 2007
9 Superbowl 18 Oct 2007
10 Tat Hong 18 Oct 2007
11 TianjinZUS$ 18 Oct 2007
12 UOB-KayH 18 Oct 2007

Get your own weapon in the market today! Feel the power of empowerment! Get XPertTrader today!

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

Reading multiple time frame

Let me start tonight's blog by sharing one of my methodology of Technical Analysis: Analysing multiple time frame.


SeeHS on the weekly chart, a classic rising wedge has formed. Why classic? Because the volume is declining just like a textbook rising wedge. My own interpretation of RSI current shows that the weekly price chart is under selling pressure. If price close near the lows on the weekly chart, my CFD is ready... keke Today I was abit more hardworking and walked over to finally get the account ready after months of talking about it. What I don't like is the cost of finance which stands at 4%...


The daily chart of SeeHS paints a totally different picture. Oscillators showing oversold, bullish engulfing pattern is formed based on last trading day and of course, I was attracted to this stock because of my daily XPertTrader screening rule, MacDHistogram signal. Looks like coming days we may see higher price for SeeHS.

No follow through in selling! Hurray! For a moment, I thought market is going to teach me a lesson for being too opinionated. I noticed many stocks finish the day closing away from the lows. Tonight, I am interested to know all the stocks that behave this way. How am I going to do that? : ) Using XPertTrader, I screened and found 35 nice hammers. Just by a click of a button! It cannot get more simpler than this. Tonight I shall share this list with you.

ChartNexus XPertTrader Screening Results:
No. Stock Name Triggerred Date Triggerred Rules
1 AdvSCT 17 Oct 2007 ((Hammer))
2 Ascendasreit 17 Oct 2007 ((Hammer))
3 Asia Env 17 Oct 2007 ((Hammer))
4 BakerTech 17 Oct 2007 ((Hammer))
5 CapitaComm 17 Oct 2007 ((Hammer))
6 Celestial 17 Oct 2007 ((Hammer))
7 ChinaAOil 17 Oct 2007 ((Hammer))
8 ChinaFish 17 Oct 2007 ((Hammer))
9 ChinaKangda 17 Oct 2007 ((Hammer))
10 ChinaMilk 17 Oct 2007 ((Hammer))
11 CITYDEV 17 Oct 2007 ((Hammer))
12 CourageMa 17 Oct 2007 ((Hammer))
13 DBS 17 Oct 2007 ((Hammer))
14 Ellipsiz 17 Oct 2007 ((Hammer))
15 Enzer 17 Oct 2007 ((Hammer))
16 GuangzhaoIFB 17 Oct 2007 ((Hammer))
17 HG Metal 17 Oct 2007 ((Hammer))
18 Hiap Seng 17 Oct 2007 ((Hammer))
19 Jade 17 Oct 2007 ((Hammer))
20 KS Energy 17 Oct 2007 ((Hammer))
21 LC Dev 17 Oct 2007 ((Hammer))
22 Lian Beng 17 Oct 2007 ((Hammer))
23 Man Wah 17 Oct 2007 ((Hammer))
24 OKP 17 Oct 2007 ((Hammer))
25 OrchardP 17 Oct 2007 ((Hammer))
26 Ouhua 17 Oct 2007 ((Hammer))
27 Parkway 17 Oct 2007 ((Hammer))
28 Pine Agritech 17 Oct 2007 ((Hammer))
29 RafflesEdu 17 Oct 2007 ((Hammer))
30 SembCorp 17 Oct 2007 ((Hammer))
31 SingHldg 17 Oct 2007 ((Hammer))
32 Sinwa 17 Oct 2007 ((Hammer))
33 SPH 17 Oct 2007 ((Hammer))
34 SuntecReit 17 Oct 2007 ((Hammer))
35 Synear 17 Oct 2007 ((Hammer))

XPertTrader is not just a software... it is a lifestyle choice... with it, you are spoilt for choices of what you can do. It saves time and makes analysis fast, simple and efficient. Our job as a trader is to analyse charts and identify the next opportunity. It's your choice if you want to run or walk in trading. I have chosen to saves precious time. 3 easy steps each night..... Start XPertTrader, click Stock Screener, click Start Screening. The next golden opportunity is just a click away!

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

Red Army Perished?

Massive selling! Looks like I may be wrong about china plays as they were sold down in tantem today. Contra players and weak holders should already be shaken out last two weeks. Today's selling may be the final washout. I am observing we are near oversold levels and yet at the same time many of the China stocks are still seeing strength, trading at overbought levels. Key support levels are still holding. I think I had been reminded many time through my XPertTrader screening, there are hardly any quality stocks that I see leading the rally. Anyway, with 19th Oct the dreaded anniversary drawing near, I will be careful incase the market really celebrate it by selling down. Also, 17th Oct is a bradley turn date. Now that we have been sold down, perhaps we turn up instead of down? :P Tonight must check with Zhuge Liang who is master for astrology analysis.



All is not lost for Xiao Hong. Trading at a level which is attractive to pick up. The above chart shows how resistance may become a support. This line has supported the price once. Today it did again refusing the price to close underneath it. This technique is part of the many strategies taught in ChartNexus Technical Analysis Course, you may find more details at >>> http://www.chartnexus.com/events/details.php?eid=1138 . This course has been hugely successful and the time limited introductory price is very attractive which comes with 3 months free of XPertTrader. I urge you to take advantage of this package and learn how to take care of your money in the market today!

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

QDII Fun no more

My opinion of a short term pause in China plays was short lived as we goes into third week of wilderness. They were trading in a tight range without going higher or significantly lower. Their counterparts in HK and Shanghai were so much better. My opinion remains for now that the play will rotate back into China plays unless PRC government make some unfriendly comments about QDII fund. I was never convinced that China's interest rate hike will affect the price. This is because it is widely anticipated and should have been priced in. The current frenzy in Hang Seng and China reminded one and all about how Nikkei rallied to 30k in the 80s and they too were in self denial when warned about the bubble. They said, "This time its different". From a high of 30k, it then went as low as 8k after the bubble burst. The same is said of China this time round. I heard many people said the 4 dreaded words...."This time its different" Olympics, China market cannot margin, cannot contra... With so many warning signs around, markets at all time highs, indeed we ought to be more prudent. My strategy for now will be to observe my buy signals that comes along and I want to see quality stocks moving versus the wild random price spike now.

Growmoney quickpicks
Allgreen
BerlianLaju
F&N
Federal
Full Apex
Netelusion

GrowMoney Growth Fund
HLH
Jasper
LC Dev
Ausgrp
YangZhiJiang
Jiutian
ChinaHong
ChinaWheel

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

Right Time, Right Place

Like I always advocate in my course, keep things simple. The truth is, the simplest Technical Analysis will work. In the example above, when Hiap Seng was being sold down, it caught everyone by surprise. It was the only oil gas company that was being sold when we see a broad market rally. Armed with just an oscillator (RSI) and classical T.A, I found a "growmoney line". This is nothing more than a trendline which i drew. keke In 2006, I give all time high a name, blueline...so here we go, another new name! :D haha My perceived support was about 80 cts, and I found 200 SMA trading nearby, fibonacci 61.8% was near too and last of all, my growmoney line. Even a gap support is nearby. I drew a conclusion that this must be a very strong support. There is no guarantee that I will be right that this stock will hold at my perceived support. Fear about it going down after buying? What if it goes up and I don't have a position? All I need to do is to put in a position size that is subjected to my money management rule. The GOLDEN RULE is, when i am wrong, i lose small, but when i am right, i win big big. Dare to pull the trigger! The longer i am in the game, the less feels i have for wins and losses. I was trained to focus on the craft and not the money. The old saying goes like this, "You get good at what you are doing, money will take care of itself".

I anticipate red chips play to be back this week. Most of them are forming flags or what we call short term price patterns. This week i will be pretty tied up at work, 1 workshop and a seminar at SGX happening. Hopefully I don't miss the breakouts!!!

There are so many stocks listed in the market, why Hiap Seng??? I am no superman. I just had a great companion in XPertTrader. I ran one of my rule to screen for stocks trading near Moving Averages for support. Hiap Seng came up. : )

Free online tutorial about Trading Moving Average can be found here >>> http://www.chartnexus.com/support/tutorials/xperttrader/CaseStudy_MA.php

I saw a couple of request for the mandarin version of T.A training. I think it is about time, I should help the chinese educated community. Let me see if can slot in a 2 hrs introductory special in December and close this amazing year at a high!

GrowMoney Growth Fund
HLH
Jasper
LC Dev
Ausgrp
YangZhiJiang
Jiutian
ChinaHong
ChinaWheel
HiapSeng

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

Fair Game?

EI-Nets has a great trading day where it's volume and price shoots through the roof. SGX queried as per SOP and the company replied in a so standard fashion that is all too common....they are not aware what could have caused this. Remember this stock, according to past experience, weeks later it will be in the open what caused this unusual trading activity. Stock Market a fair game? I doubt so. keke

It was good to see late buying. Although late buying is typically good, it could also be due to shorts covering. Today I picked up one more stock, Hiap Seng. Interestingly it is trading near the 200 DMA while the rest of the oil & gas play are still firm. My view is fundamentally is sound, technically it's ugly. I remember their contracts are up to the brim. Hence I am trading my opinion on this stock. If i'm wrong, I will bite the bullet.

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