Sunday, May 17, 2009

KLCI update 09 05 18 0950

Its too early for me to say, "see? told you so ..." ...  but its interesting to see suddenly all the analysts became so bearish straight away predicting 1000 support line and even mentioned the 975 for today's movement.  If they anticipated this all along, why didn't they mentioned about this cautiousness the past 2 weeks like I did ?  Da ....

Anyway, as most of you should have known that we have 2 cases of A H1N1 in Malaysia now.  I have to admit that our new PM has done a good job controlling how the news spread this time ( by luck or by plan ).  First of all, I hope not too many of you are naive enough to believe all these below are coincidences:

1.  Health minister has been saying ok all along, suddenly both he and the deputy are out of the countries when the problem occured ?
2.  A1 disease confirmed on Friday (after diagnosed result) and the whole situation is 'stable' by Sunday ?
3.  The ministry want to 'punish' those plane boarders didn't come forward on Saturday but on Sunday they have proactively and successfully trace down most of them ?

Its ok for anyone to think great and bad on how the ministry has performed but as far as I can see.  Our new PM has been very sensitive to the market and make sure news come out in a way that will shake the market least within the situation given.  And past 3-5 days are perfect example to support my thoughts :D 

Anyway, simple fact as that the outbreak hasn't occured ( news wise ).  As factual as my own understanding in this situation, outbreak has already occured, its only a matter of to what degree.  So market may show correction but the crash I anticipated will not come just yet, not until the ministry is left with no choice but to release the outbreak numbers.

If you don't plan to keep your current stocks for more than 3 years, sell them off (after checking your technical charts).
If you are prepared to buy more stocks like I am, wait further with patient.