19th Nov 2007

Markets have opened and STI opened with a high of 3461. Nikkei was trading with a positve 110 points before it dropped back to-28 points! Currently at 1pm, STI is trading too, with a negative 13 points. It seems to be affected by the opening of HSI, which is currently trading at -241 points as well.

As I mentioned yesterday, I predicted that STI should be closing in the range of 3460, however, it seems badly affected by HSI currently, which is showing some weakness. I do not know why, probably due to the USD and heavy shorting recently in HSI. I'm not an avid fan in HSI and probably got to read the forums to find out more. Still a 2nd half to go, let's see how it goes. :)

As for celestial, volume is practically low and movement is still within the channel I anticipated. Take note that the RSI, MACD and stochastics are relatively low and I believe it is almost time to move in, but the most important factor is still market sentiment which must turn around first. Another counter that I'm looking at is ARA, a financial asset management counter that manages reits. Alot of people have very high expectations of this counter, which I'm doing some research on it currently, and will soon determine its direction. However, as far as I'm concerned, I'm looking in a few factors as follows:

• the direction of the organization
• the future potential of the organization
• what are the countries that this organization has invested in?

As far as I know, this company collects revenue through various reits and it doesn't really sound very appealing to me. It sounds more speculative more than investing for this counter, however, this may not be true until my research is complete. Next, it is currently trading at $1.14 at 1.30pm, and the IPO price is at $1.15! Normally, the IPO price is one of the resistance point and it shouldn't go past its IPO pricing. As this counter was launched only recently, there won't be any 200MA for this, but only the 20MA and 50MA, in my opinion may not be very accurate due to high market fluctuation for this counter.

With YEN/USD at 110.61-110.63 + 0.53, there seems to be no signs of improvement at this point, however, more time should be needed to see whether it will unwind even lower.

This week is Thanksgiving in US, so light trading is a high possibility in the US markets.

Other news: Yen strengthening against all other currencies.
http://www.bloomberg.com/apps/news?pid=20601087&sid=a1UITs5.j3sM&refer=home

Year end is coming and the cursed 10 year cycle will be broken soon with this year if everything goes well of course. That's all for now, and if I have anymore information, I will post it soon! :)