Market Rebound?

Attended Master Dec talk on KLSE yesterday. As usual, with his technical tools he always spice the crowd up.

Ok, back to the business, Master Dec give a few insights to watch out for Uncle Dow support @ 13350, hit that level, cut losses! Personally, I hated the idea cost when I cut losses on China Essence last weakness 2 weeks ago, it hit new high.. making me heartache.

This time round, I adopted HA (Hope Analysis) on my counters and will ride through the storm for the correction holding them till I see daylight.

Last night, Dow Jones has fallen as expected but did not do badly. This has triggered STI to closed abt 20 points higher today with most industries has climbing back today. A sign of rebound is seen and my counters recovered!!! With serveral uncertainties, I will more cautious as a 2nd wave may be coming.

*Properties/Land Developer Industries pulling back
The increase in development charges has evidently made properties/developers counters topping the top losers chart. Capitaland did not fare badly today and manage to close at open price. Will revert back to old plans on report earnings play! Hope that a strong Q2 earnings will reduce the damages done.

One developer gem is spotted in the pull back, that is LC Dev. This counter has impress me by making a peak of 0.565, closing remarkably at 0.56, 0.06cents higher. Most probably is that its development projects are all overseas so it does not have any impact from the rise in development charges. If I have not remembered wrongly, Kim Eng Seng has given a coverage with a price target of around 0.76. May be a good chance to load up.

Other prospective counters that I will be looking are in the oil and marine sectors. Construction Giants also seems attractive on the discount it offering now. More contracts annoucing in Aug/Sept, high chances of rallies again. Sian so much opportunities so little money especially when I vested all my cash in the stocks already!!!

Lesson:

• Money management is crucial! Money is every traders/investors lifeline. It is important to have a fair amount of capital reserve with you as it will come in handy in such situation!
• At the point that the market corrects, think of what counters that you will buy!