Thursday, March 24, 2016

KLCI is over-bought

Morning ... waking up to see oil&gold and DOW down ... 1USD = MYR4.02

As for KLCI, foreign-funds are back!! They are buying into blue-chips such as Tenaga and Genting. That helps the index surging higher ... and we are hitting resistance soon (next at 1735 level).

RSI (relative strength index) which I m using to gauge the fear-greed in market showing at high level ... above 70 is considered as overbought!! I was sharing with my current e-learning group about RSI last night ... showing to them the charts of Genting and Tenaga, which are overbought too.

Genting is going into HIGH-land ... the theme-park opening?

Hence, I maintain in cash position after sold off THPlant(at RM1.29, bought at RM1.18 last week) and BIMB yesterday. No trading for a while as market is over-heated now .... but ...

THPlant : A non-liquid counter ... following many plantation counters ... as CPO going above RM2600 level, hitting RM2700

.... due to the strengthening in MYR (vs USD), many so-called export-oriented stocks are diving again. Check-out FLBhd or Kossan ...

Kossan ... will not trade this time around. Good luck if the current level broken, more downside! The whole sector was over-played and many greedier ones, last minute jumped wagon .... and still do not get out ... are stuck inside. Sorry ... time to move on.

Time to rest ... as not trading this week.

This SUNDAY,  I will have the basic TRADING WORKSHOP and planning for the next one end of April too. But this week is the BEST as the market is HOT ... and we could learn to catch few stocks next week or so when they DIVE again.

Good luck.


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