Market View 4 January 2011

Wall Street were in a jovial mood as "Stocks posted
strong gains of roughly 1% during 2011's first trading
session as promising manufacturing and construction
data bolstered confidence in the U.S. economy's recovery
prospects. The bullish action in equities was a strong sign
the January Effect is poised to be a factor this year, despite
double-digit percentage gains for all three major U.S. equity
indices in 2010." Dow surged 93 points, S&P 500 gained
14 points and Nasdaq advanced 39 points.

As what was mentioned earlier, our stock market started
the year with a bang with the STI gaining 46 points or 1.4%
yesterday. The mid-caps and pennies were also running wild
and I believe many readers profited from the New year rally.
Last week, I stated that I was buying and keeping stocks
over the New Year for an anticipated rally or what was
called the Capricorn effect and if you have also done so, you
should be sitting on good paper or actual profits if you have taken
them. Will the stocks continue to run high and wild?
For the moment, I don't see why the strength and momentum
will stop, but as usual, be wary for any profit-taking with the
use of a trailing stop and the enjoy the surge.

The Palm oil counters are really a good run despite them already
up considerably. First Resources added 4cts to close at 1.59 and
will face 1.60 resistance head-on and 1.63 next. Golden Agri is
in the 80s now as forecast in my blog weeks ago. The next resistance
will be encountered at 86cts. For those who prefer the laggard,
there are Kencana and Global Palm to choose but I like Global
Palm based on what I see on the chart.

Genting closed at 2.22 and will likely hit the 2.25 resistance and
2.32 next. I like what I see on the chart for stocks like Sound Global,
Ezion, Swiber and Midas. Ezion as highlighted weeks ago is a
safe stock above the 68cts support and it indeed hit 74cts yesterday
and will face resistance at 78cts.

I received emails asking for "cheaper" alternatives to the stocks
that I recommended and I have scanned the stocks and the
following are some of the stocks that I believe there is further
potentials to move up
1. SinoGrandness (I see a cup-with-handle pattern forming)
2. Sinotel (Tech stock of the year)
3. United Envirotech (The usual speculative play by the punters)
4. Li Heng (Potential multi-baggers in my view)
5. Mermaid (Re-valuation in the process)
6. Ausgroup (Previous darling of the market)
7. Yingli (China property counter)

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