It's pretty obvious (no detail analysis needed) , Bursa Malaysia is still in bullish mood, fueled by positive sentiment in economy, global and locally. The correction was short. Also, it is like there's a need to maintain the KLCI above the crucial psychologically 1,300 point support zone. For now, 1,290 is the support zone to watch for as the warning for any weakness.
This week, PM Najib going to launch Invest Malaysia which is the market watch in great anticipation. This alone shall keep Bursa Malaysia busy for the whole week.
So, it's still on the up trend. The question now, how far FBM KLCI can go?
End of 2009, most forecasters or market analysts said that the first and second quarter of 2010 are going to be active or good while the third quarter 2010 to be uncertain or bad. Even the latest forecast saying the same. So far, so good and so right. The first quarter is consider good and second quarter likely to be good too (I think so).
Well, third quarter itself is statistically the worst quarter compared to other quarters. This could made the many forecasts for the third quarter also turned 'right'.
Actually the forecasts are typical classic or maybe a cliché. First quarter will be good and so will the last quarter. Second quarter will be just so, so. or just okay. Third quarter will be the least active quarter or uncertain. You can repeat that every December.
Now, if third quarter is going to be bad, shouldn't you start selling before the third quarter comes. Ironically, by doing that you will be fulfilling the prophecy.
Enjoy the market for the next few weeks.
