Friday, May 28, 2010

D+191

I hope everybody is enjoying this public holiday because i spent mine at home watching the HBO series "The Pacific" by the creators of 'band of brothers". I've got to comment, that the series is as good, if not better. Band of brothers focused their warfare in the European front whereas this series, played on the World War 2 in the Pacific.

The US marines were deployed heavy in the initial assault on the war fronts and some live to tell the story as of what was filmed in this series. I love it, and it reminds me of the movie: "The Last Samurai" because that movie is arguably the BEST movie I've watched. Rather, i would consider that movie a classic because of the combination of modern and traditional warfare. It's the typical Guns V.S. Swords battle that caught my eye and imagination. Documentary movies are very encouraging as it tells a meaning or contribution a person has in history. Take the Movie "Ip Man" for example, Nobody would have heard of his name before the show, and now, I guess many non-martial artist would have as least know about this person.

Well, That's for sharing what i did today while the stock market was close. However, I do monitor the Hang Seng Index (HSI) which is the index for the Hong Kong stock exchange (HKSE). Hong Kong isn't having any holidays today so trading was as usual and here's the Chart i took out.


Today's trade ended with a very big blue bar. So, one may ask how 'big' is big? The answer is to compare with the others you see in the chart. Does it looks big to you?

If you still need convincing over whether it's huge, Maybe numerical figures could help. The HSI recorded a gain of +335.34 points. Now that's considered quite high for a daily trade figure.

You might ask what does the Singapore's stock market got to do with the Hong Kong exchange. Well, the fact is, Financial markets are interconnected. And Singapore's exchange follows heavily with the movement of the Dow Jones Industrial (for US) and HSI (HK).

The reason why Hong Kong is because Singaporeans are not able to buy shares in China. Only the Chinese people from People's republic of china could buy them. However, the Chinese companies are not stupid, They did duel Listing onto the Hong Kong market to make more investment capital. So, it is known to traders and investors that if you wanna invest in China, you'll have to buy shares off the HKSE which is why I am also monitoring the Hang Seng Index (HSI)

Being a trader, many people have different risk appetite and some view a long weekend like this one as a dangerous one to hold stocks given the current volatile situation. And i agree. Fortunately, today's HSI was a positive gain. And we just have to see tomorrow morning whether the Dow Jones is a positive as well.

Should these 2 financial market closes off positively, we could most probably expect a positive opening for the Singapore exchange come monday morning. Of course, There is no such thing as a guarantee. Although the Financial markets are closes, News & rumors continues to flows. What if (for e.g.) South Korea decides to declare War with North Korea over the weekend?

Wouldn't it push for a sell-off the moment monday comes? True or true? TRUE!

I hope that, by writing some fundamentals about stock investing/ trading, i would at least build up some background knowledge as to further analysis and comments i would share here in the future. Of course, anybody is welcome to provide a topic of discussion and i am open to it.

The reason I've changed my writing style and contents to this blog is due to the fact that i want to share my knowledge with everybody. I believe that by sharing what i know, I can help anybody whom happens to pass by and read it. I hope that by posting my comments and analysis here, fellow traders and investors could also learn something.

Although I still consider myself learning, I would also love to share what i know to all my friends. The means to my goal is clear. I've posted this before but i love this sentence so much that i could post this every single post!

"Success is about doing things that you find it beneficial to you and you stick to it!"

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