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Global markets and Bursa – Where are they really heading “together”?

Trading Room – 19th Oct 2018

Dow falls more than 300 points as the market’s October struggles to persist.”

“The Shanghai Composite dropped 2.9 percent and hit its lowest level since November 2014.”

“Italian bond yields to their highs of the day and sent major European stock-market indexes to their session lows.”

The Dow and S&P 500 have fallen more than 4 percent each, while the Nasdaq is down nearly 7 percent in October.

Continue reading Global markets and Bursa – Where are they really heading “together”?

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Where are the pockets of strength in the market?

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. Continue reading Where are the pockets of strength in the market?

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Rebound expected for the week

Trading Room – 15th Oct 2018

A rebound is expected this week for the Malaysia and global markets within a weak/downtrend market (see the Special Reports in the mPower Algorithm).

Should you participate as a trader in this rebound or should you stay aside? The answer lies in knowing where exactly is this rebound in the entire long term trend of the market in the coming weeks which is explained quite extensively in the mPower Algorithm report. Continue reading Rebound expected for the week

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The Algorithm gives early warning signal

As warned by our Master Algorithm earlier, the local market went into
a sharp correction and the US market also sold off yesterday.
The selldown could be just the beginning (at least for the US market)
and the local market could be only in the middle of its correction.
Conservative traders should stay out of the market while aggressive
traders may pick up stocks on rebound with tight stop loss soon.
 

Upside however is limited with a clear hit-and-run approach only.

On hindsight for one stock, Telekom, we should have stop out at RM3.18 but
decided to wait until SS RM3.00, which was broken yesterday and
showed that its always unwise not to keep to the Algorithm stop loss.
We remain cash rich overall however thanks to warning from the Algorithm scanning and we prefer to stay on the sidelines first while awaiting cheaper prices to buy back in.

 

 

 

 

 

Continue reading The Algorithm gives early warning signal