Weekly Comments

We maintain our technical view for the STI to trend lower to 1275-1300 before reversing up. The technical rebound by

US indices during the past two weeks has fizzled out. We see the Dow and S&P500 heading for 6070 and 570

respectively, before a bottom occurs. STI should begin its final down-leg to 1300 before a strong upward reversal lifts it

to a 38.2% upward retracement level at 2030 in coming months. Investors should capitalize on this anticipated final

downward move and continue to accumulate early cyclical plays. While our STI 1300 view remains unchanged, the

chance of it heading there is also lowered given the strength exhibited by other Asian bourses. STI 1300 will be

negated  if the index is able to rise above 1685. If this scenario occurs, the bottom would have occurred at 1455

on March 10th  and the 38.2% upward retracement should reach 2145 in coming months.

I really hope so..the problem can be postpone...in fact crises to crises this is what they have been doing...make adjustment to the economy by doing this and that to escape..,,,but crise to crises it is getting harder to solve..

Hope Obama and Ben can solve the problem...

iPunter      ( Date: 23-Mar-2009 16:52) Posted: Why worry too much about 'tomorrow'? If tomorrow probably means that the problematic consequences is postponed another few years (or possibly even decades) down the line, does that really bother anyone who is purely a trader?...   Don't think tooooo far...  hehehe...

Printing money can solve problem, but those immediate problem, ... overtime it will give rise to high inflation...but between inflation and deflation...inflation is easier to solve...that why fed print paper money like no tomolo at the expense of foreigner like China and the rest of the world..

Fed is scare of deflation...that why during this round of crises , stimulus of trillion given out to kick start the economy.....report said Fed is buying treasury, i think if i am not wrong China have slow down the buying of treasury....why should they keep lending money when it value keep going down, by fed irresponsible debasing of fiat currency like printing dollar like no tomorrow..

China is done ..their economy got to grow at  least 11% to keep unemployment low...with US market unable to take their good, their growth is 7%..with high unemployment.half toy factories close shop...that is serious..

US consumer market is 9.5t..Chian and india is just 1.5t....with US consumption down some 3t...that means Chian and india must increase their consumption by 100%..that is not possible..Indian and Chinese are savier not spender...so long the uS is down...China and the rest of the world is done for...

attended Prof Chan's seminar. He personally said that recovery could be around 2011.

 But he added that the indicators include:

1. Europen and American Banks start increasing lending.

2. Obama starts to print money.

 I think his rationale is when there is money is printed, prices increase, then people start buying.

However the current rally could be due to "window dressing". This can be seen through the spike in vol. Almost cannot be retail investors like you and me.

One thing I would like to ask if, if Print Money=>Price Increase=>Inflation, does it mean that the dollar is devalued? Then what will happen to all of the US-assets China is holding on? devalue overnight? Will the China bubble burst as a result?

Ha ha, HSBC at HSI am shit down 2 HK$, now see green of 25cts. Wat a good swing.

Tonite, if DJ sui sui, d limelight gonna be at Citi n AIG liao. Of course d heavy duty JPM n MS shine as well.

yup..the keyword is "buying of toxic assets" and setting up a new dept to look into this. Hope DOW will cheong tonite. Gd luck to all...

cheers~!

More or less force buying. Looking at one of d bank now, buy 100 sell blocks at 1208. If EU later responded +vely, above 8 would be d closing px liao.

No call for anything, but observation.