Market View 7 May 2010

Market tumbled in the US but it is due to errorance
trades more than actual massive sellings. "U.S. stocks
plunged as much as 9 percent on Thursday as losses
caused by Europe's debt crisis turned into a stampede
of automated selling, pushing the euro to an almost
14 month-low and gold to near record highs.

U.S. regulators investigated whether erroneous orders
caused a 10-minute nose-dive that dragged the Dow Jones
industrial average .DJI into its biggest ever intraday drop
in terms of points, a fall of 998.5 points at its low point."
At the end of the closing bell, Dow clawed back to close
down 345 points, S&P 500 plunged 38 points and
Nasdaq fell 83 points. I believe the market will be more
stable tonight, and anything is possible now.

Ok, if you are expecting a major market onslaught today,
and you are going to place your shorts when the market opens
then you maybe in for a surprise and disappointment.
Market will open sharply lower, but I see it regain the lost
positions rather than continue to nose-dive. And yes, I will
be picking up broken pieces at the support price of the
winner stocks that are in my watchlist.

Yesterday, I know that a few readers won on positions at
Cosco, YZJ, Mermaid and even Global Palm, and you will
be rewarded if you have your stops in place. A few members
asked me about how do I know that Global Palm will
not drop further and will stage a rebound. It is all in the chart,
as long as you know what you are looking for. My view will
still stands for Global Palm if it is above the recent 36cts low.

Watch the "bloody" show unfold today, but the climax of the
show will be when the selling is supported by equal or stronger
buying, and the finale will be an interesting one, and for some
readers, a rewarding one as well.

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