Wednesday, October 12, 2011

STI - Oct 11



Background: In the past few weeks or even months, I have been quietly following the market. I must admit I haven't been posting my analysis of the market for quite a while now, primarily because I am rather "uncertain" about how the market will swing.

My view of the market:

From the chart, we can see that every time STI climbs above 20 day moving average(20DMA), it falls back below the 20DMA. And the recent rise in STI was accompanied by declining volume. So, will history repeat itself?

GMMA indicates that we are in a down-trend. And we are in indeed in a down-trend as 20DMA is below 200DMA. Smoothed RSI is about 50%, do notice that every time RSI hits 50% or thereabout, STI starts correcting itself.

Also, do note that earnings season is here. On Wall Street, Alcoa kicked off earnings season today and DJIA is off around 16 points today, a trading range for today was "small" - DJIA fluctuated between less than 100 points, an anomaly of late.

In Singapore, Singapore Press Holdings (SPH) will be reporting her earnings today. So, how will the market pan out? Time will tell I guess.

Interesting Chart patterns:

Bearish Engulfing - Wilmar
Shooting Star - Genting SP

Ok, will be signing off here. Trade/Invest wisely and stay safe (in this volatile market)!

4 comments:

  1. hey man, where did you learn your trading from? What are you trading actually? Options or cfds?

    I'm 21 this year and going ORD soon. I plan to trade for a living but not sure how much I need to start. Care to advise?

    ReplyDelete
  2. Hi

    I learnt my trading from various sources- books, internet, and my peers and mentor. But i wont say i am a "seasoned" trader vis-a-vis people with so much more experience than me.

    I trade mainly indices, stock counters, (buy at support sell at resistance and vice-versa). Nope, I dont do options.

    Wow! you wanna trade full-time? I guess to trade you need at least a few thousand dollars for a start.

    Btw. I am not a full-time trader. Trading for me is only a hobby. =)

    ReplyDelete
  3. who is ur mentor?

    If you don't mind, can u share how long have you been trading, how much have you started trading, how has you account grown and how much are you making now?

    How old are you now, 19? What are you doing full time now?

    ReplyDelete
  4. I have been trading for coming to two years already. Hmm... I have just turned 20 recently.

    I am doing office work full-time? Will be going university next year.

    Trading to me has always been a hobby, I don't trade full time and I don't intend to trade full time in the future. I am more towards investing.

    My dad is my mentor. He has a basket of stocks and his portfolio has, over the years, grown many many times its original size. =)

    ReplyDelete