Market View 20 August 2009

Interestingly, Wall Street recovered from
early losses to close up again. The 3 major indices
were each up about 0.7% led by strong gains
in the energy sector stocks. Seriously, I don't
like what I am seeing in the US for now, the rally
seems to be over-stretched, and we shall see
whether I was right about Mr Market in the coming days.

China benchmark Shanghai index dropped more
than 4%, and that triggered a panic selling when
we are back from the lunch break. I saw the index
dropped from -6 to -30 in just a few minutes, but
did you notice how the Hot stocks react?
Stocks are not created equal, so we can see that
some Hot stocks are still up after initial weakness,
while other plunge further down, and close bad.

Some members suggested to me that this type of
roller-coaster market action is really taking the
toil on them, as they will be stop-out from drastic
movements from stocks, and from market far away from
us in China, Hong Kong & US. To me, you really need
to enjoy such irrational and occasionally crazy
market actions. It is always the same pattern being
played out each and single time, only the stocks
are different. You have to adapt and embrace such
market action. "The Only Thing Constant is Change itself".

I am concentrating my focus on the 4 stocks heading
to $1: Genting, First Resources, YZJ & Swiber.
They have done it before, and they will do it again.
Together with them will be the commodities stocks
and offshore and oil counters. They have been the leaders
and will likely be played again.

Trade those still Hot (Green) stocks but be very cautious
of south wind. Follow the Flow, but expect the Unexpected.
I will be cautiously trading today on the still-hot stocks.
Concentrate on the GREEN (If Available, but prepared)Hot stocks:
Straits Asia, Midas, Olam, Ezra, Ezion, KS Tech, Cosco,YZJ,
Indo Agri,Noble, NOL, Genting, Ascendas India Trust,Yanlord
& Uniasia, Raffles Edu, Swiber, Swissco.
In close watch: Epure & Falcon Energy, Rotary, First Resources,
Mermaid, Hi-P, PEC, CSE Global.


Enter any position with a Cut-loss level & 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

P.S.: For the readers that are in my mailing list, I will be sending
"some" reports today. Watch for it.