Stocks Crash?

Dow Jones Index posted a 300 pts down on Friday night, is this the beginning of a crash?

Hang Seng looks to the south.

STI is very weak since last winter and continues to be bearish.

The Weekly Review: Another Crazy Week

EUR/USD continued the upward bounce from last week due to the fall of the dollar. EUR/JPY had a slight weakness and fell but recovered on reaching its support. AUD/USD remained weak.

USD/JPY had a long fall due to weaking dollar and rising Yen for that week. It has currently bounced off a support on Friday after the NFP report as many traders took to take profit or was caught in a squeeze.

US Stocks

Dow Jones Index bounced off sharply after reaching support and also on Friday's NFP report.

Apple is going to unveil its new products soon in the upcoming WWDC. How will it stock react?

Hong Kong Stocks

Became interested in Hang Seng Index recently because of its potential big profits when you are trading long term in it despite its volatility. Hang Seng ended down for the week. Futures from Friday night indicated a slight bounce. So it might open up on Monday.

Singapore Stocks

Properties like Kepland continues to slide in the week.

REITS holders, are you panicking?

Wilmar isn't spared from the fall too. Broke past its support.

Commodities

Gold is still bouncing around as it failed to move any higher. If it breaks further, then it will be a long way down to cheaper gold.

The Weekly Review: Start of the Correction or Crash?

AUD/USD continues its weakness but slowing down on reaching support. EUR/USD bounced from its bearish state and reverses upwards as USD continues to weaken. EUR/JPY slowly moving down as JPY gains strength.

JPY crosses are slowly moving down as the JPY strengthens up. Will see more movement down from JPY crosses especially from USD/JPY and AUD/JPY.

US Stocks

Stocks are pushing down on the Friday. Notice there was a double top.

Totally missed out this great short. Weeks of bulls wiped out within 3 days.

Singapore Stocks

This reminded me of my previous post on the "The REITS Bubble". Panic sell in just a week.

Dividend stocks like StarHub are taking huge hits.

What Do Bubbles Look Like?

What does a bubble look like? According to the "Bubble Model" by Jean Paul Rodrigue, there are 4 phases of a bubble: Stealth, Awareness, Mania and Blow-off.

Now let's take a look at the Gold Chart.

Looks eerily similar doesn't it?

Read more about the article here.

Growing as a trader

Every trader has its own beginnings, his/her excitement, failures, frustration and fulfillments. But most of them go though the same stages where they grow into successful traders, or give up trading in the end.

Beginner Stage:
I started like every one else does, hearing about people making money from the stock market. So wanting to earn more, I started picking up books to read. There are so many books out there talking about investing, picking value stocks, how to calculate PE ratio etc. It got me excited. So after gaining all the knowledge, I went to open a trading account, made many calculations to find the valued Singapore stocks. Found a few, so I bought a few to try it out. What did I buy? Most of them penny stocks which I thought they will be gems cause they are really undervalued according to my calculations. In the end it did not rise as much as I expected, instead they all went down. I was invested during the peak of 2007 and the beginning of the biggest stock crash. Like a all emotional suckers, I held and held and the prices went further down. So I gave up and cut losses. Not a good start. Next tried another stock which seems to have a good value. Bought it and also came down. Everything crashed when Leman Bros. crashed. Pretty burnt.

Next stage.......... stay tuned.