Market View 3 August 2009

Another fresh trading day & week of the month,
how did everyone fare at the lat month's rally?
I believe many should be sitting on succulent
profits. Well done!

Dow recorded its best month since 2002, with
corporate results picking up its pace. We have some
important statistic coming out this week, and
it should be a crunch time to see whether the
indices can continue its momentum.

Back to local front...
I received a couple of emails asking whether
the market will have a V-shape or a W-shaped
recovery, and whether we will see another huge
correction back to "reasonable" & "realistic"
level, so that they can pick up the stocks again.
It is always so interesting to receive such emails,
just get them coming in.

Frankly, I have no preferrence to a V or W-shape
recovery, just as long as it is a O-shape market.
Haha..that is the market will always be open at each
trading day. A V-shape recovery will be a fast and furious
one, which I still see many retailers out of the
market yet. They have missed the first early boat which
I have been urging readers to take multiple times.
But the market will always correct down for them to board
again, that is, if they want to. A W-shape recovery
will see the market plunge to near former low, and
rebound yet again, which I seriously don't believe
will happen, the chances are quite low.

In a bull market, there will still be casualties,
and in a bear market, there are still traders laughing
all the way to the bank. It is not really about the
market, although most people clearly prefer a bull market,
but it is about how the individual views the market.
I have been recommendating the Hot stocks for trading
and investing since last year, and many should have
benefited if they take action, or else I am just
creating cyber-rubbish. If you are still waiting
for Noble, Straits Asia, Olam & Yanlord to fall to
below $1 again, then you can continue to wait and wait.....
It will only happen if there is a major meltdown for
the financial market again, or through their own
corporate scandal, which is a tiny possibility.

I am cautious now, and will take profits once the south
wind is blowing. Some stocks were still strong last friday,
like Ezra, Raffles Educations, I will focus on them
if they are green.
Trade those still Hot (if available Green) stocks but be 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.

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