Market View 2 July 2010

Wall Street ended in the red again but reversed
well from the day-low as "U.S. stocks fell on
Thursday as manufacturing and labor market data
heightened fears of a double-dip recession before
Friday's key employment report. Major indexes were
lower for a fourth straight day after suffering their
worst quarter since late 2008, but losses eased near
the end of the session." Dow reversed from as low
as -153 to close down 41 points, S&P 500 fell 3 points
and Nasdaq lost 8 points.

I received quite a handful of emails and skype messages
after I posted at the blog yesterday. The  main concern
is when will the market correction or selldown happen?
Ok, I have checked about this issue with Mr Market, and he
told me that he also don't know?! Basically, the major action
will come when you least expected it, but it will come.
I can only say that I have expressed my bearish view about
the 2nd half of the years many months ago, and I still maintain
the same view. Frankly, I am quite delighted to have such
a big-scale selling, and I hope that you will feel the same,
as the stocks will be having a belated "Great Singapore Sales".
My negative view maybe negated if I can see a major uplift
in worldwide market, but for the time being, I don't see it yet.

One close skype associate commented that will the
selling cause stocks like Noble and  Olam to go below $1
again? I will be very crazy if I say that I don't wish for
such a great bargains, but it is not likely to happen any time soon.
If Noble and Olam is below $1, then the rest of many pennies
will be well below 50cts. Haha... But Genting, Cosco, Broadway
and YZJ will be the victim when the selling occurs.

Seriously speaking, if you ask me what can I trade at the
market this days, I will have very few options for you.
A skype reader asked me about buying some stocks at the
support level, and I replied a "yes" followed with a "cut-loss"
behind. Many stocks are trading at the tight range in the view
of breaking at either side. For Genting, it is likely to meet strong
resistance at 1.22, if it can ever reach there, or else it may fall
back to the 1.11 support level.

One reader asked about Global Palm that I mentioned some sessions
ago. Ok, don't need to see this stock now until it reaches 37cts again.
Sound Global will move along the 73.5cts support/resistance level.
I will be cautious today and wait for any stock upward movements,
but it is likely to be an intra-day trade. Or I may just take a early
break, and prepare for tonight's Crash of the Titan between the
the Orange Army and the Samba.

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