Condition For Catching a Knife ? Wear......G.... !

Today is Tuesday, still early to mention when is the right time. Still monitor the whole situation. I still prefer the market would drag down until next week after by-election.

Budget announcement is around the corner. KL Composite Index down -14.94 points to close at 1,069.42 points.

Today Crude Palm Oil Futures tumble again after opening high. At one time the CPO for November delivery fell RM-134.00 per tonne to RM 2,351 per tonne before close down RM-49.00 per tonne at RM 2,436.00.

If we take a look for a while and think for a moment, it seems to be the most of the commodities prices are heading south. Even equity market are also going down.

Selling pressure still very high. Possibility the selling will continue for tomorrow is very high. Talking about catching a falling knife, how we want to catch, which one is the right counter ?

Conditions to catch the right counter :

The counter drop for so many days.

Volume for that counter should be high all the time.

The best when the counter face some selling pressure, it should be following with the KL Composite Index sharp drop.

Don't go for the counter with lower turnover. (This only apply to those who have the ability to hold the share)

If you can, look for Profitable company, MMC Corporation, favourite counter among all the traders, MRCB and solid company like Resorts Worlds.

Actually there is still a few more conditions that I would like to write down but it is hard to explain how to use it.

That is YOUR Feeling, YOUR Guts, YOUR Capability and YOUR Believe. If we want to apply this thing on us at the right time and the right place, I can tell you it won't be easy.

I have gone through the whole situation and I can say how good you are as a trader, one day eventually....... or sometimes you will fell off also.

So better to do more homeworks rather than become like LILIAN TOO. Heee....Heeee....Heeee....

Datuk Seri Anwar Ibrahim is still campaining strong at Permatang Pauh. Hopefully the outcome of the by-election results will favour the markets or else a lot fund managers don't dare to invest their money in our country.

Need to posted some girls picture or else everytime if we look at the charts, our eyes might be like PANDA.

Picture : TATA YOUNG