How's The Market on Friday?

14 Feb 2008

11.50 p.m. - Malaysia time zone

Since I did not make any forecasting on today's market, I would rather prefer to talk on tomorrow's market ( Friday)

1) I am using 2 type of strategies ;
1.1) The early movement of the market after market opens in the morning
1.2) During the trading hours between 10.30 a.m. to 6.30 a.m. - the use of trendlines such as ; 3 Tops/Bottoms, Head and
Shoulder, 2 Tops/Bottoms etc

2) Since the market closed today on a higher note beating 3458, which was on 5th Feb, the CPO futures was said to be the highest ever recorded today at 3459. 1 point extra only. As for tomorrow, I would forecast that the market would be bullish ( As I mentioned earlier, my strategy is focusing more on the opening rather than the close. Even if tomorrow is be a black bar, it gives no effect to the strategy )

3) Take position only if the market opens between 3479 to 3440. If the market opens within this range and then falls to about 6 to 16 points from the opening then a buy position can be placed. A stop loss of about 10 to 15 points can be done after a buy position has been placed. Be careful if, after opening, the market falls immediately in a very steep way. The best is still , after opening, the market moves a little bit up and then falls slowly to the level that I mentioned just now. Any way, if in doubt, just stay away from the market.

4) If ,after opening, the market happens to beat yesterday's highest or opens higher than yesterday's highest or opens higher than 3464 then it may continue to move up further. Anyway if the market opens higher than 3484, then, from my experience, the market may fall. Any buy up at this juncture would involve a high risk.

5) If market opens below 3440, it could mean that market may fall further down especially if it beats down the level between 3439 to 3425.

6) If no position is to be made after the opening, look for a clear pattern of 3 tops/bottoms, head and shoulder, 2 tops/bottoms and also other trendlines that you are familair with during the trading hours.

7) As I have stated in my previous postings, this is only my forecasting. I could be wrong, I have been wrong for quite a number of times. For further information, contact your broker.