Mid-Day Break
[1:00pm] At the mid-day break, STI gave up 35.68 points or 1.37% to pause at 2,565.82. Stock markets across the region are looking at the US economic data released tonight and will likely to stay cautious. HSI gave up 350 points while Nikkie loss 104 points.
Is this a good time to enter ( amidst STI corrected by 135 points in 4 days )?
Yes, only to those with extremely high risk appetite and are trading in very short time frame who want to target at 1 ~ 2 sessions of possible technical rebound after our long weekend. However, the risk is really quite high in view of the impending key economic data to be released and that the US markets are still in over bought region. Any slight bad news may trigger the US market to tumble heavily.
No, to the more conservative traders like myself. Technical indicators suggest we still have rooms for more downside even if there is strong technical rebound to serve as a pause in between. At mid-day, we are not even touching the 20 days simple moving average yet. RSI has not reached center line yet. Unless the index nose-dive to 2,480 ( which I doubt it will by today )...
My 2 cents, I could be wrong!
Is this a good time to enter ( amidst STI corrected by 135 points in 4 days )?
Yes, only to those with extremely high risk appetite and are trading in very short time frame who want to target at 1 ~ 2 sessions of possible technical rebound after our long weekend. However, the risk is really quite high in view of the impending key economic data to be released and that the US markets are still in over bought region. Any slight bad news may trigger the US market to tumble heavily.
No, to the more conservative traders like myself. Technical indicators suggest we still have rooms for more downside even if there is strong technical rebound to serve as a pause in between. At mid-day, we are not even touching the 20 days simple moving average yet. RSI has not reached center line yet. Unless the index nose-dive to 2,480 ( which I doubt it will by today )...
My 2 cents, I could be wrong!
Labels: Market Direction
posted by Market Wizards @ August 07, 2009
Comments: 0
