Monday, April 30, 2007


20070430 Reading the news, investment adviser's newsletters, other traders and research boffins' opinions on the state of Bursamalaysia market, I get the feeling there are two camps.... In the blue camp are those subscribing to the 'blue sky theory.... the KLCI will make higher new highs... In the red camp are those like capitaldynamics.com and others, who see a "severe correction" coming.... What can we discern from these two opposing viewpoints. Basically these are just 'predictions' or attempts to crystal ball forecast the future direction of the KLCI and are ....hogwash. If you look at the 60 minute chart of the FTSE Bursa 100 index, the market is trapped between these two strong bear and bull forces and is 'coiling the spring'.(my favourite expression) Watch and wait for the breakout and go with it....might be a prudent approach.

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"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

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From Dragons and Bulls by Stanley Kroll
Introduction 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
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
Larry Hite: The Billion Dollar fund Manager
Systems Trading:Kroll's Suggested Method
Buy the Strength Sell the Weakness
Good advice
The 'good bets' business by Larry Hite
Don't lose your shirt
Ed Sykota's secret trend trading system