Tuesday, August 18, 2009

FBM-KLCI Suffer The Most After Few Weeks Of Up. End of Up-Trend ?

It seems that the Malaysian share market has ended it uptrend wave. Whether the trend is over or not, what we really need to worry now that the current trend has turn into very negative sign. We might be seeing some rebound after a big scare and a sharp fall from Shanghai Exchange.

Shanghai stocks dropped 5.8% Monday, suffering their biggest percentage drop so far this year, as lower commodity prices, persistent worries over tightening in bank loans and weak economic data dampened investor sentiment.

No doubt this the second time that the Shanghai has bring down the Asian equity market into a panic selling situation still the indicator suggest that most of Asian equity markets are entering into a profit taking or correction mode.

Right at these moments what we really can do right now is to look for a technical rebound. Some of us might be losing this opportunity to win recently BATTLE as most of the speculation counters are not moving but still it is not the end for us to win a WAR. Try to find an opportunity and look for pure technical rebound. Who knows ? Maybe this technical rebound will win us a WAR.

Dow Jones Industrial Average seems to be heading for correction after climbing for few weeks. We need to respect our big brother as they will decide where the world equities markets are heading to. But judging from their recently move, they seem to be exhausted.

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