Barely a week ago, when I read that people in HK are rushing to snap up the supplies like instant noodles and toilet papers in the supermarket, I really could not understand why.
Never do I thought it would also happen to Singapore. Read here
The STI after reaching a high of 3286 plunged down to 3112.56 in less than 10 days. That was pretty much in line with the global markets performance in view of the coronavirus.
The local economy was also affected by this virus as well. Read here.
China then decided to implement rates cut, pump trillion of yuans to the stock market and managed to "resurrect" the much needed drowning market. You can see the V shape recovery starting from 4 Feb 20 to 6 Feb 20.
Chart wise, it first break down from the bullish trend line on 3 Feb and traders were expecting a possible bear market is here. Then, it managed to do a sharp pullback until 6 Feb. On 7 Feb, it retreated back into the bearish trend line. So, you can understand from this chart (would be quite the same for many ), that it created quite a bit of confusion , to sell or buy.
China latest trade data was delayed and as the death toll increased and more cases recorded in different countries, panic sets in and traders are equally confused and uncertain if the recovery is genuine or a mere "dead cat bounce".
It can go both way in a symmetrical triangle, up or down. So, exercise a little patience and wait for confirmation once more - 1) heads south towards the support at 3075 where I think this is a great buying point. 2) It may retreat a little to 3159 level and rebound.
Goto smaller time frame like 4H or 1H to get a better entry point.
Never do I thought it would also happen to Singapore. Read here
The STI after reaching a high of 3286 plunged down to 3112.56 in less than 10 days. That was pretty much in line with the global markets performance in view of the coronavirus.
The local economy was also affected by this virus as well. Read here.
China then decided to implement rates cut, pump trillion of yuans to the stock market and managed to "resurrect" the much needed drowning market. You can see the V shape recovery starting from 4 Feb 20 to 6 Feb 20.
Chart wise, it first break down from the bullish trend line on 3 Feb and traders were expecting a possible bear market is here. Then, it managed to do a sharp pullback until 6 Feb. On 7 Feb, it retreated back into the bearish trend line. So, you can understand from this chart (would be quite the same for many ), that it created quite a bit of confusion , to sell or buy.
China latest trade data was delayed and as the death toll increased and more cases recorded in different countries, panic sets in and traders are equally confused and uncertain if the recovery is genuine or a mere "dead cat bounce".
It can go both way in a symmetrical triangle, up or down. So, exercise a little patience and wait for confirmation once more - 1) heads south towards the support at 3075 where I think this is a great buying point. 2) It may retreat a little to 3159 level and rebound.
Goto smaller time frame like 4H or 1H to get a better entry point.
Comment:
praise the lord, it is out of the bearish trend line and now we are ready to add long once it pulls back.
Comment:
watch out for the news today.
www.straitstimes.com...-says-heng-swee-keat
www.straitstimes.com...-says-heng-swee-keat
Comment:
good time to accumulate as the SG government launched a 4billion rescue www.channelnewsasia....s-more-help-12447786
Comment:
Let's wait a while more to see if the price will revisit the 3075 level
Comment:
hmmm, a bit disappointed with the market reaction to Fed's rate cut this morning.
Asia markets will open in red later including STI
Asia markets will open in red later including STI
