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2010-04-19

Sell in May, Return after October



















FBM KLCI up in past few week is due to Ringgit Malaysia value go stronger vs USD. Base on the chart FBM KLCI index up side is limited at 1340 level, after broken this level FBM KLCI index may go up or also may go down for a big correction.

Will this year "Sell in May, Return after October" may safe us from loss back the profit that we earn early of this year? Last year 2009 this rule of thumb is not applicable. As I know along my investment history this rule did applicable, most of the year start in May the investment activity will slow down a lot. So be safe, better not take the risk in share market after month of May.

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Investment Idea

My investment with RM5,000 initial capital have been growing since 2005.I found the stock market appears confusing and complicated, but it is most definitely based on logic "supply and demand". However, the laws of supply and demand as observed in the markets do not behave as one would expect. To be an effective trader, there is a great need to understand how supply and demand can be interpreted under different market conditions and how to take advantage of this Off Market Transactions in KLSE.

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