To my surprised I didn't expect today KL Composite Index to close up + 29.84 points at 1,139.41 points. The whole market movement performance was fantastic. Some of the counter even close higher from their previous high created on the rebound form in the last two weeks.
But one counter really impress me with the ways it move. That is AirAsia Berhad. Today the counter fly very high until it reach and close up RM +0.125 per share at RM 1.04 per share. Can be consider the darling stock of the day. Why today market react in this kind of way?
Previous article that I have posted stated that to predict a buy when a sharp fall occur and to sell when a rebound occur is not easy.
But to sell at a small rebound is easy for us to take some profit. This time around the rebound might be longer, it might took 2 to 3 weeks from now. (Roller coaster ride) Please refer to the chart given.
Basically if you look at Dow Jones Industrial Average (DJIA) as I mention in my article "Dow Jones Industrial Average at the BOTTOM" (17.07.2008) that the bottom had already been form and any rebound will bring the world market rebound together. From Thursday until now, indeed the DJIA fare very well. With the Crude Oil prices decrease, DJIA able to withstand any more falls in near term and oversold shares in Malaysia market indeed did help the market looking for bargain hunters (ChEaP SaLe)
From their current new low of 10,713.96 points (15.07.2008) until yesterday high at 11,692.79 points, a different of about +978.83 points. This is huge, nearly to 1,000 points gains.
For me my calculation is based on the charts. How high it will go, we will never know ?
But I assume that more or less it will climb up until around 12,000 points. Plus minus about 200 points to 300 points and DJIA might have some roller coaster ride in the coming weeks.
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