Friday, April 22, 2011

Market Seems To Have More Potential To Move Higher ?

Sarawak State Election has passes by but the FBM-KLCI reacted normally against the election results. Basically if we take a look on the Malaysian share market movement, we can assume that our share market right now are moving side way. It would be better for the FMB-KLCI if the turnover can reach towards 2 billion shares a day.

If we take a closer look we might have some opportunity ahead. What does it means that we might have some opportunity ahead? If we dare to accumulate right now (not every counter) we might have a chance to look for an upper trend ahead. How big is the trend? That one I don't have the answer but my outlook was based on some indicators appears recently this week.

It was based on some few speculation counters showing some indication of moving upwards but how strong they can move forward will depend on the overall sentiments. Overall world equities market are faring very well especially the Dow Jones Industrial Average. With the current Dow Jones momentum at these moments, it might help the current local share market sentiment as well.

This is just my assumption and my point of view and we cannot take it as it will happen in the first place (moving up) but for sure the month of May is nearing and we have to stay alert all the time. Based on previous record, basically in the month of May (maybe middle or end of the month) was not a good time for the share market. This is just an assumption only.

Another advice from my point of view. If we did accumulate any of the shares and all the sudden there was an announcement of 13th General Election, my suggestion is to unload all those shares that we brought for speculations.

Looking at the chart right now, we can foresee that the FBM-KLCI is staying around in between 1,520 points and 1,543 points. If the FBM-KLCI still manages to stay above 1,520 points, we still more rooms to move on. If the 1,520 points being taken out, then we have to re-adjust our point of view.



thanks for the advice
- Zamre Ab. Wahab

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