Trading Room – 16th Oct 2018
Some pockets of strength of appearing in some sectors like financial and defensive sectors like rubber gloves and tobacco/beverages. However, the strength is pretty mixed and not broad-based, highlighting the fact that traders need to be stock-pickers in the current weak market to eke outperformance.
Look at the Special Report in the mPower Algorithm report to see at first glance how all sectors are moving now in the market and which you should focus on. Without this report, traders would always be second-guessing their positions or trading blindly or with just one eye so to speak.
A number of our Model Portfolio stocks (including the ones highlighted yesterday in the Special Report) did very well including Hibiscus, Top Glove and Deleum and traders may choose to take their profits in and out of these stocks like we did.
Anytime the market gives you a 5%-10% daily profit in an uncertain (downtrend) environment is a blessing to take.
We will stay in the selected Oil and Gas stocks as long as Brent crude stay above this critical level which is highlighted in the mPower Algorithm report while awaiting the developments on the Saudi case of the missing journalist in its consulate and possible sanction impact on the country.
As oil prices may swing on headline lines, always put a tight stop loss on the oil and gas stocks that you are trading and monitor the crude oil price movement. Do not hold oil and gas stocks if crude oil price break below that critical level mentioned.
One construction stock appears to be on a bear rally which can be exploited with a critical stop loss mentioned.
It’s a calculated high-risk entry for scalpers with a very high target. Buy/Buy on weakness as close as the level mentioned in the mPower Algorithm report to minimize your risk.