FBM KLCI Up Or Down In Nov?
This will be an interesting week to study our FBM KLCI stock market pattern from a technical perspective as we enter into the month of Nov. As we know black OCT is not happen this year so if analysis back to year 2007, black Oct did not happen and Nov was consolidated before enter into Dec 2007. Will this happen again in 2009? If it do happen again so this month of Nov is a good entry into the share market.
Base on the chart, FBM KLCI will be either a resumption of its uptrend is underway or an extended consolidation is already in the works. FBM KLCI fell for the first time in four weeks to close at 1,243.23 last Friday, a weekly loss of 23.9-point or 1.9%. Plunging in tandem were the FBM 70 Index (-2.8%) and the FBM ACE Index (-0.8%) as profit-taking activity picked up. Although losers outnumbered gainers on four days, there was little panic selling with daily average volume easing to 899.5m shares (from 1.0b units) valued at RM1.1b (RM1.3b previously).
The 1st support line will be around 1,221 and 2nd support line will be 1,190. As FBM KLCI drop near 1,221 I think panic selling will happen and I think Fund Manager will make it happen, so that profit can be make during year end windows dressing. However, we can see now FBM KLCI index is almost fully supported by banking sector so if your investment hide inside banking sector will be safe. I already hide most of my investment in bank warrant which till now still in profit even the market is in red.
I personally think KLCI FBM will only bounds up in last week of Nov if all the bad news from US flow out. Nov will be a good entry point to invest into quality share when they price dip into red due to panic selling. For me I always buy when the market is in red sea.
Base on the chart, FBM KLCI will be either a resumption of its uptrend is underway or an extended consolidation is already in the works. FBM KLCI fell for the first time in four weeks to close at 1,243.23 last Friday, a weekly loss of 23.9-point or 1.9%. Plunging in tandem were the FBM 70 Index (-2.8%) and the FBM ACE Index (-0.8%) as profit-taking activity picked up. Although losers outnumbered gainers on four days, there was little panic selling with daily average volume easing to 899.5m shares (from 1.0b units) valued at RM1.1b (RM1.3b previously).
The 1st support line will be around 1,221 and 2nd support line will be 1,190. As FBM KLCI drop near 1,221 I think panic selling will happen and I think Fund Manager will make it happen, so that profit can be make during year end windows dressing. However, we can see now FBM KLCI index is almost fully supported by banking sector so if your investment hide inside banking sector will be safe. I already hide most of my investment in bank warrant which till now still in profit even the market is in red.I personally think KLCI FBM will only bounds up in last week of Nov if all the bad news from US flow out. Nov will be a good entry point to invest into quality share when they price dip into red due to panic selling. For me I always buy when the market is in red sea.
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