Market roundup

Good evening, it is finally a Friday and the market data is out so let’s do some review before I head home. By the way I hope the lil cartoon strips will tickle one or two funny bones

Today in the 9am hour I was looking at the price actions, and peering through my charts, doing some quite analysis and doing quick mental calculations for position sizing. It was quite obvious within the 9am hour that we lacked steam and the rebound gap was being closed and as it close people were all selling into strength. One has to understand that with such bad sentiment, few buyers will be out there. 2 main reasons. Lack of confidence. And lack of money (cause all the money is trapped in the market already). Or both.

By 10am I had took some positions (half of intended position) and queued another half at the price I wanted to short at. The game plan is, towards the end of trading day I will decide what to do. Either a rebound will come and hit my higher price, or the market tanks. Actually, both scenarios hit. I managed to get my short on citydevelopment on rebound, as well as Olam. I am supposed to have more shorts for Olam and SPC but I decided not to add anymore by 4.50pm. For most transactions I do not like to queue. I will either sell down, or buy up. Timing and price is quite important and I do not like to be stingy with that 1 bid in price and risk the counter running away from me. If there is a reason for me to queue (like today) I will queue, and let the day go by and see what happens towards the end. There is no need to peer over the market all the time and usually I am busy with other things (other than looking at the screens) once my positions are locked in/queued. 4.45pm is always an important time for me, that’s all.

I drew some charts earlier on Capland and CityDev. Let’s see how they have progressed by the end of the day.

Interestingly, one broke down from the uptrend line while the other stayed within. Wow! Capland has strength. Are they reporting soon? If they are, then its end could be near.

I love SGX’s chart now. I took that 1/3 profit, so now I have 2/3 of my shorts in the market. I am intending to ride this.  Look at the massive downtrend line and where the lines all line up. $4.60 is definitely achievable, with definite possiblities of cracking that even. If anyone had shorted from the top at over $9,  less than 6 months later you are riding on a $4 profit already. Short and hold anyone?

I also put in some new positions for SPC. I have traded this for quite a while now. It is a pity I got 2 lots only and the price did not rebound high enough to hit my other ask price. The risk reward had to be factored. But just look at the kind of selling for months now. And look at how the one and only rebound was resisted by the 20MA.

Someone asked me to post up my trading positions so that they can better understand position sizing and my entry prices. I will think bout it… Usually I do not like to declare explicitly what I acted on and how many lots as I do not want people to follow me cause if they lose money I will feel bad. Learn the techniques yourself. If you need help just let me know.

Here are some other charts for you to look. Just to have an idea of how I will be deriving interim supports dated years ago in line with fibonacci.

Here’s some round-up:

Olam broke the $1.03 support. Next target 0.855 perhaps.

SPC broke $3.25 and $3.12. Next TP around $2.50 perhaps.

Citydev has a chance to head towards $6.10.

These are just my own targets. They is no guarantee they will be hit. If I knew for sure,  I would have sold everything and staked everything down into the stock market. Obviously I don’t know for sure. But apparently from what I see, there are some who behave like they do. Ultimately there will be casualties in the stock market. Mr Market will kill bulls and bears in its path. The market is like a busy street to me. Movement, is always good. Either up or down it doesn’t matter. I would wanna be cruising alone, and whenever I drive I hear traffic updates of this accident and that accident, I say to myself “It is better to be a driver, than to be a statistic”.