Market View 24 November 2010

Wall Street slide in overnight trade as "U.S. stocks
tumbled Tuesday as investors fretted over the skirmish
between North Korea and South Korea, lingering euro-zone
debt uncertainty and the Federal Reserve downgrading its
U.S. economic projections."
Dow lost 142 points, S&P 500 dropped 17 points
and Nasdaq fell 37 points.

Yesterday, when the news of the bombardment between
the North Korea and South Korea broke out in the news,
I was thinking how long will the military confrontation lasts.
I don't believe that this will worsen into a full-scale invasion or
continual bombardment as once in a while, the North Korean
strongman just want to let the world knows that he is still
in power and alive. But because the market is already lacking
in good news and catalyst to spur up the market, any unfavourable
news or reports will be 10 times magnified and that created
the sell-off as reported in the papers. In my view, it is just
panic selling and normal profit-taking, a very standard market
practice and behaviour.

Ok, yesterday a readers left a comment asking for my view
on Sabana Reit. My view is that, it is the first Shai'ah compliant
Reit to be listed in Singapore, so it will definitely attract those
Shai'ah compliant funds and investors into putting some money
and getting the stock into their portfolio. It is also expected to be
giving out a generous attractive 8.22-8.25% yield to the investor.
If you are looking for capital gain from this counter, then the
returns may not be impressive. On the other hand, if you are
into stable and reasonable returns, then you can subscribe for the IPO.
Take note that the application will close today 6pm and not the
conventional 12pm, meaning you can even apply it after the
market closed today.

Genting fell 10cts yesterday to close at 1.95 below the support/resistance
level 1.97 It will likely be range-bound between 1.90 to 2.04
for the time being which a break at either side signify
bearish or bullish sentiment on the stock.
The plantation stocks were also badly hit but they are
likely to be stable and consolidating.
Market sentiment will stay cautious for the moment,
so look out for the stronger greens in the pool of reds.

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.
See their comments here:
http://stocklobang.blogspot.com/feeds/comments/default

As usual,
Stay Alert but be Aggressive too.
Audentes Fortuna Juvat !!

市场生存座右铭: 风林火山