Market View 13 May 2009

Yesterday, only 3 Hot stocks in my watchlist
were red, and they are Noble, NOL & Olam.
Noble is in the news with its share placement,
and NOL was announcing result, and Olam,
maybe shedding off some recent gain fats.

Many Hot stocks are still hot on momentum,
but gravity will eventually catch-up with them,
and they will suffer a correction on profit-taking.
But somehow, a couple of stocks will still continue
to surge, and be the green ones among the reds,
and it is just what the traders need, to follow
the trend leaders, and be prepare for the
reversal in the trend and strength of the stock and market.

I still believe that our market and the Hot stocks
need to take a breather, and give-up some recent
stunning gains, in order to move up even higher in the
next phrase. Nevertheless, just follow the greens,
and be prepared for the south wind.

I wish to re-iterate the importance of having a
cut-loss and trailing stop when trading stocks.
You can have the best trading method or technique,
but if you were to let the losses run, and never take
a cut-loss, you maybe entirely wipe-out from
any future participation in the market.
Always set a cut-loss level when you enter a stock,
and stick to it religiously.
When your stock is winning, move up the cut-loss
level which will become a trailing stop now,
and if the sudden south wind blows, you will be
cut-out, but with a profit well in your pocket.
Unless you have found the Holy Grail of trading,
it will be beneficial to your wallet that you die-die
must have a cut-loss set-up, and follow through.

It is looking to be a profit-taking day, and one should be
careful today.
Concentrate on the GREEN Hot stocks: Ezra,Cosco,Straits Asia,
Indo Agri,Noble, NOL, Olam, SembMarine,Yanlord & Uniasia,
Raffles Edu, Midas, Swiber.

As usual, enter a position will a Trailing Stop,
and Please practice strict (Risk)Money-management.
If you don't like what you see in the market,
simply don't trade.

If you have Skype, and would like to chat with me
about stocks and all others,you can ring me at
my email address: stocklobang@yahoo.com
I have currently a couple of members skyping with me
everyday,and they are having good trading results.

As usual,
Stay Alert but be Aggressive too.
Audentes Fortuna Juvat !!

市场生存座右铭: 风林火山