The Share Market Still Needs More Confirmation From Dow Jones ?

I'm back from China. To my surprised when I used the Internet in China, I was shocked. The China's government is doing a very good job in controlling their Internet user. I have tried many places and many times to enter into the "Blogspot" website but it didn't work. During my 8 days in China I cannot update my blog but I still can monitor the movement of the KL Composite Index and the share prices movement.

For me this is the right way on how the China's government controls their users. As we can notice that not everyone were pleased with their own government administration. Like we can see in Malaysia, many of us are against the Najib's government. They can simply condemn the governments and this really jeopardized the country image.

Back to the KL Composite Index. As we can see for the past one week, the so call "Catching a falling knife" didn't materialize. The index climb event stronger with the help from Dow Jones Industrial Average last week. As we can see the KL Composite Index and most of the counters right now are moving in a correction mode or I should call it a consolidation mode. Are they preparing for the next move - up or down ?

It is quite hard to trace where the KL Composite Index likely to go. Last week during my trip in China, I was having a "short" position in FKLI (futures) at 1,013 point and I enjoy when the index went strait down to 994 point. But all the sudden the index make a comeback after three days of profit taking and I have to cover back or "long" at 1,029.50 point. It is unbelievable the way the index moves.

These few days also, my e-mail was flooded with all kind of negative news regarding about the movement of the Dow Jones Industrial Average (DJIA). Some of them even mention that the DJIA is heading to the south and is preparing to go for a pure correction but it didn't happen.

After I have monitor the share market movement and the performance of the world equity markets for the past one week, I have no comments on the world equity market performance as the indexes are breaking new high. They look very positive at these moments. All in all, their movements have to depend on the BIG BOSS performance - DJIA.

Frankly right at these moments, I can't find my confidence level but I still playing along with the trend. The DJIA needs to break the 8600 points and the Double Top in order to have a confirmation uptrend or else it might turn to the other way round. When this article was been prepared, the DJIA stood at 8,444.00 points.