Monday, April 20, 2009

KL Composite Index Need To Have Correction.

KL Composite Index still trading at high level. Now the current index stays at 965.17 points. Basically some of the counters still stay quite high. Will the KL Composite Index undergo a pure correction or just a consolidated move? With current index still stay high, it is quite impossible to accumulate at this level.

Whether now would be the right time to accumulate, it has to depend on certain individual outlook. For me I will stay out for a while unless there is a truly correction set in. At this level it might be a bull trap circulating around. From a fear bulls turn into a resting bull. Many analysts still mention that the world equity markets still due for corrections.

Maybe I might be wrong in the first place or I just want to be extra careful at these stages. The share market still look alright but it would be better if the share market can take a correction in order to build a stronger base and prepare for the next bull runs if there is really one real bull appear. Watch out also for the world equity market indicators, they play a very important role to determine the Malaysian share market movements.

1 comment:

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