Another down day for STI, 1% drop

STI dropped another 1% more to close at 3312, with volume of 1.8 billion transacted. I think another 100 points like that to go before we hit rock bottom. Cannot be falling one straight line without rebound right? Possible support at 3300, then 3250, I think at most will fall to 3150.

Most stocks are already trading at/below Jan price - meaning that the whole year worth of gains is wiped off. Serious huh? Well, nobody said that stock market is easy to earn money from.

Here's some announcements from yongnam:

1. They successfully raised $100 million in the warrants issue. This capital raised will be partly used to purchase steel struts to meet the rising demand from the construction boom. Nil-paid rights will cease trading on 30th Nov, so I need to pay up 0.03 for each warrant by then.


I was just fiddling around with HSBC charts, trying to figure how when the selling will stop. I used the max charts available from yahoo! that shows the chart from 2000 to now. HSBC hit slightly above 120 in 2001 before crashing down throughout the whole year in 2001 to 2002. The price consolidates inside an symmetrical triangle for almost 2 years before breaking out in mid 2003, rising throughout 2003 until early 2004. Price is consolidating in the form of a channel trend, going slightly upwards though at a gentler pace (unlike end of 2003 where the price jumps up so much).

As of today, the price broke below the lower trendline down to 130. A possible support level (and good entry point is 120 - high of 2001).

Can u see the pattern? Go down, consolidate in pattern, breakout in uptrend - exponential increase in price, consolidate in pattern, breakout in downtrend - exponential decrease, consolidate and repeat again. Whole cycle takes 5-6 years thereabouts.

Very interesting :)