Market View 22 June 2010

Wall Street reversed from early gains as " Stocks
once again succumbed to late-day selling in light trading
on Monday as hopes China's newfound dedication to
yuan flexibility turned to doubts about the speed and
magnitude of Beijing's intentions." Dow lost 8 points
reversing from earlier 140 points gain, S&P 500 fell
4 points and Nasdaq gave up 20 points. Personally,
I don't like to see reversal of such kind and it is looking
that the sentiment to continue for another day.

I am sure most readers profited from yesterday's
so-called S-Chip rally, with the like of Cosco, YZJ,
Sound Global surging. I mentioned that "it will be rather
concentrated on the bigger and known S-chips and the
related stocks" and it was exactly what happened.
Other stocks like Genting, Mermaid, PEC, Swiber,
even CSE, Rotary also join in the fun, and it all
add-up to a good trading day. 


Genting will continue to bounce around the mentioned
 range. Sound Global, Rotary, CSE and CWT should
test the $1, and in my opinion, they are >$1 stock.
Global Palm hit the 37cts resistance, although the day-high
yesterday was 37.5cts, it should consolidate at 37cts,
with 40cts as the psychological and 43cts as the important
resistance level. Cosco, Mermaid, YZJ will likely take a 
break to prepare for the next price action.


A reader asked me in email what is my view of the current
market surge. Frankly, I am still quite bearish about the
2nd half of the year, and I will not be surprise if a sudden
and swift massive selldown appears out of the blue.
I am always prepare to take money off the stocks with
trailing stops and cut-loss level, and you should do so as well.
Enjoy the surge while you can but always be prepared for
the unexpected circumstances.

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