I see this as a good sign. Stocks don't go up in one straight line, as Decipher always put it. It goes up then retrace, up again to break resistance and retrace again to test resistance turned support before going up. This way, each climb it takes is firmer because with each retracement, those who need to take profit will sell off while new buyers will jump in. Almost like a relay running, we need fresh buyers to push up stocks, otherwise it'll run out of steam.
There are rumors of China setting up a china global fund and some of the china stocks listed here (esp those midcap ones like synear and hongguo) might be the likely candidate. All speculation of course, but that's enough to send it spiralling upwards. Wonder if Pac andes will be counted in, it's technically based in Hongkong, but it's a good fund material - slow and steady.
Though I wasn't around to monitor the stocks, I feel the excitement when I came home and saw so many stocks breaking out of high. Is this the last leg of the bull run - the fiercest run up before major correction? No point wondering, ride the trend.
Swiber did very well, climbing up 0.120 to close at 3.460, well breaking resistance at 3.40. Breaking all time high at 3.520 is all the more likely. I would like to see it move up further then finding support around 3.40 to 3.45 before going up. After a protracted run up (the chart looks like one tu-tu train pushing through, really one straight line upwards), it'll be good to build base before moving. This is one stock that I've no worries when I go for my reservist next week.
Pac Andes broke out of bollinger band with high volume, almost 2.5 times average volume. Looks like more upside to come. I wonder what's the news that bring about this price action. Today, Pac andes close up 0.045 at 0.775 with quite heavy volume. From my amateurish TA calculation, the target price of this stock is 0.845. Time frame is next week? haha, a bit fantasizing huh? well, we'll see. 0.845 happens to be the resistance level too (coincides with gap resistance which happened on 27th July when we had a major selldown)
This is another stock that I have no worries about. Like swiber, my buy price is too low, providing me with a buffer for any adverse economic events. As Graham puts it, a margin of safety.
Straits asia seems to be build base. But the weekly charts look quite bullish. Hope to see it break my target price of 1.59 when I come back 2 weeks later from reservist. Not very worried about this. In fact, I'm quite happy with its price action so far, very resilient - even during the selldown.
Europe mainly red, Dow down by 16 pts. My portfolio losses stands now at 1.4 k.
I won't be blogging actively and monitoring the market during these 2 weeks because of my reservists. If any big news must write it on my chat box ok? haha :P I'll probably sneak in some time to check the market too (there's a computer centre at my camp), maybe i'll drop by in the evening after lunch when I'm free.
Take care guys and gals, be back soon! Hope to see STI cheong past 3800 when I'm back. Don't say it's impossible, impossible is nothing :P
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