Monday, May 29, 2006

20060529 Cash KLCI daily chart shows the stance in the market, supported by the 200 ma and path of least resistance looks to be down. Posted by Picasa

Saturday, May 27, 2006

20060526 Support established by the 'hammer' candlestick holds, with prices maintaining above that level. Posted by Picasa

Wednesday, May 24, 2006

20060524 FKLI May daily close is a hammer formation, indicating selling may be subsiding, or buyers stepping up. Posted by Picasa

20060524 10:35 am. FKLI up 3.5 points. The hammer on the cash, 200 day mov avg support and intraday MACD supports this move up. Posted by Picasa

Tuesday, May 23, 2006

20060523 A hammer pattern, with stochastics oversold indicates possibility of reversal. Posted by Picasa

Monday, May 22, 2006

20060522 Daily momentum indicators were pointing down, which contributed to the downfall in strategy today. Posted by Picasa

20060522 FKLi longs taken 930, stopped out with FKLI blowing through all support levels. Contagion from Bombay stocks which dropped >10%. Posted by Picasa

Friday, May 19, 2006

20060519 Close. 30 min chart for the week that has gone before us. Ugly downtrend for stock players. 930 is a confluence of support from some fib extension 162% levels and previous resistance on the way up. Might look for technical rebound play off that level next week for May FKLI. Posted by Picasa

Thursday, May 18, 2006

20060518 close. Posted by Picasa

20060518 50 ema daily equivalent plotted on the 30 min FKLI provides support below the market. DJIA did fall 214 in US trade. Posted by Picasa

Wednesday, May 17, 2006

20060517 Into the close. Posted by Picasa

20060517 Lunch session close. FKLI 30 min chart with equivalent of daily moving averages, instructive of how they show resistance and support. Posted by Picasa

Tuesday, May 16, 2006

20060516 9:17 am. Daily chart of FKLI shows the use of daily moving averages to define support/resistance. Posted by Picasa

Monday, May 15, 2006

20060515 3:50 pm. Looking at the Mesdaq index 30 min chart, in hindsight we see a triple top. Since this pattern is pretty rare, this could be pretty significant. Posted by Picasa

20060515 Lunch session break update. Looks to have good chance to get into the support zone, with all moving averages pointing to a path of least resistance down. Posted by Picasa

Friday, May 12, 2006

20060512 With the selloff in the world markets, how can FKLI traders use as strategy. For one, looking at the 3 moving averages in the chart, will give clues as to areas of support for the cash index. If we are thinking that there will be 16 days to go to expiration, with a significant discount, I would venture that long at the bands and holding to expiration might provide a high probability trade, which would be safest rather than trade through the volatility, long or short. Posted by Picasa

Thursday, May 11, 2006

IRIS Corp designated by Bursa

20060511 After market close today, Bursamalaysia made IRIS shares 'designated securities', which may impact on FKLI trade for the next trading day. Now we know the explaination of the persistent large discount of FKLI May this past week.

20060511 Close. FKLI managed to hold the area of support (rectangle where the 3 moving averages formed a confluence). RSI has also been consistency above the 50 level. If traders were not long, certainty there were not many reasons to short the FKLI off this pattern. Closes near highs. Posted by Picasa

Wednesday, May 10, 2006

20060510 FKLI comes into a confluence where the 3 moving averages all come together. This is a prelude to a big move, either direction. Posted by Picasa

Saturday, May 06, 2006

20060505 Cash KLCI chart shows nice momentum, but will be on the lookout for weakening ofthe trend through indecisive candle action on the daily chart. Posted by Picasa

Friday, May 05, 2006

20060505 9:30 am. Break out bar of the trendline (with 3 touches by price=resistance) came yesterday on the last candle. Posted by Picasa

Wednesday, May 03, 2006

20060503 FKLi closes 943.50. Posted by Picasa

20060503 4:20 pm. A break of a small uptrend line. Let's see if there is follow through on the downside. Posted by Picasa

20060503 10:22 am. FKLI comes up to fill the gap. (Gap filling trade setup). Notice the Genting SSF FGEN May contract bidding at 24.90 while the cash offer price is 24.70. This is a clear arbitrage opportunity, but the liquidity providers are unable to take advantage. This is due to the cost of executing in the share transaction being prohibitively high. Bursamalaysia really needs to look into allowing liquidity providers (local participants) cheaper transaction costs for stocks like stockist account or investment account of stockbrokers. Posted by Picasa

Tuesday, May 02, 2006

20060502 8;50 am. FKLI gaps down on the continuous chart. Could be opportunity to look for a gap closing trade. Posted by Picasa

"There is the plain fool who does the wrong thing at all times anywhere, but there is the Wall Street fool who thinks he must trade all the time."J Livermore Manchester City FCl Crude Palm Oil


From Dragons and Bulls by Stanley Kroll
Intro and Foreword
The Importance of an Investment Strategy
5 The Art of War, by Sun Tau (circa 506 BC) and The Art of Trading Success (circa AD 1994)
That's the way you want to bet/a>
Long-term v Short term trading
Technicals v Fundamentals
Perception v Reality
Part 1: Winners and Losers
Part 2: Winners and Losers
Sun Tzu: The Art of War
Those who tell don't know, those who know don't tell
Why there is no such thing as a "bad market"
The Secret to Trading Success
The Experts, do they know better?
Risk control and money management
Good advice
The 'good bets' business by Larry Hite
Don't lose your shirt
Ed Sykota's secret trend trading system