Trade: Singapore Exchange

Hi all,

An exit was made at $4.40 on my SGX trade.

Cheers and good trades.

Trade: Singapore Exchange

Hi guys,

I have bought Singapore Exchange shares at $4.28. 

Targeting for a short term rebound during mid-day. 

Review: Bear or Bull?

Japan is obviously in panic at this stage, as Nikkei extends decline to close at 7162.90 -6.36% from the previous close, as I am writing this. The Nikkei fell to new lows since 1989, at 38900ish, and still making new lows today. Do you think we could still see it happen in the next decade? Although Japanese banks have been relatively unharmed by the credit crisis, but a dip in the equity prices of Japan has caused a relative damage to their balance sheets.

Over the weekend, China, Japan and Korea agreed to act together any day if and when it is needed, where Japan has a free hand on Yen with the support of China.

Hong Kong on the other hand, as I am writing, is down by 12.16% at 11,083.63 -1534.75. I believe the double whammy may have been accompanied with Li Ka Shing's comment last week, in a declaration that Hutchison Whampoa will not move forward with further acquisition until June 2009, as he has always been a good indicator to many people in Asia.

Let's look at a series of financial news where we can access from one of the big newswire:

1. European banks will be in trouble next, as according to a news report from Telegraph, they are discovered to own 75% of debt from the emerging market economies. Will the Euro go into parity with the USD, as forecasted by BNP Paribas?. To read the article, click here.
3. HSBC and Santander are beginning to face pressures. Click here
4. AIG needs more money again, as $123B is not enough. Click here
5. Russia may default next. Click here
6. School in trouble due to failure of renowned hedge fund. Click here
7. Taiwan Dumps Fannie, Freddie and Uncle Sam? Click here

With the string of events mentioned above, we seem to be in a crisis that is very much worse than what I have personally encountered in 1997 (Asian Financial Crisis) and 1992 (ERM Crisis).

Currently, all eyes may be eyeing on China to intervene into the stock markets, where in my opinion, that might only happen if the intervention is a global joint intervention. I believe a 10 billion dollar in HK and China stock markets each, could put a strong support to HK equities.

For the Singapore markets, the climax may come about from further news on Las Vegas Sands, as most Singaporeans banks has lent them a huge amount to finance their projects. This could also pose a threat on Singapore property prices, as the housing bubble has been largely influenced by the expectation that the Integrated Resort would prop up prices in the local property market.

Let us just keep a good lookout at the US stock market tonight, it should be another spectacular one.

Review: Challenges To Maintain Free Market Capitalism

Hi guys,

It has been awhile since I last wrote a review on the markets. 

As I am writing this now, here is a summary of the asia stock markets:

Shanghai Composite  35.94 (1.92%) 1,839.621

Hang Seng  1,142.11 (8.30%) 12,618.38

Nikkei 225  811.90 (9.60%) 7,649.08

Straits Time  145.39 (8.33%) 1,600.28

Kospi  110.96 (10.57%) 938.75

Taiwan Weighted  150.89 (3.19%) 4,579.62

FTSE 100  290.02 (7.09%) 3,797.81

DAX  367.65 (8.13%) 4,152.05

SMI  347.22 (5.89%) 5,546.51

Currently, DJIA, S&P 500 and Nasdaq futures are traded at limit down. There are also talks in the market of possible intervention from major central banks tonight, IMF seeking funding from China and Japan to aid emerging market economies, where they take into consideration of high default risk from these countries. 

What speaks for the strength of the USD despite liquidation from companies, hedge funds and the CDS, and for the weakness of other currencies over the past few weeks. Primarily, the  cause was by a surge in demand from parties who are not part of G7 or G10 who do not have large swap lines with the Fed, e.g Korea, where they are not part of G7, their system at this moment would experience additional pressure on the won, as they do not have swap lines with the Fed, therefore, in order to obtain Dollars, they have to post their national currency (Won) as a form of collateral in exchange for dollars. Similarly, the similar situation is happening to many emerging economies like Pakistan, Russia, Kazakh, Emirati and etc banks. 

With further job cut announcements, starting from a few institutions like Caterpillar, GM, Merril, Chrysler and Goldman, we may continue to see further evidence of a full blown recession, that the US dollar may have not factored in, in the next few weeks, after the liquidity squeeze gets resolved. 

Watching the Banking Committee yesterday, where the Congress tried to grill Greenspan, Snow and Cox, was indeed an emotional moment for me. The ex-Fed Chairman was given utmost disrespect, as his speech was cut short, and he gets very rudely interrupted during his Q&A, I thought he deserved his stand to explain, as someone who had dedicated to serve as the Fed Chairman for more than 40 years. If you were his age, and given this time where you could be flying elsewhere for your retirement holidays, would you waste your time in front of a group of people whom you know that will grill you, and admit that your ideology of a free market system was flawed? In my opinion, I respect this chap for his honesty, and to be very honest, in my opinion, there are no flawless system in governing in the financial markets? Even nature does not give you a perfect forecast of any nature product's life cycle. 

Continuing from the above emotional message, I personally feel that we will continue to face challenges in the financial markets, where the DJIA we may see a bottom at around 7,200. In view of Euro/Usd, the USD will likely begin to weaken on the mid term from 1.22ish. These views are just my personal views on the market, and they are not meant for professional financial advise, therefore I hope you could just view this with a small amount of belief. 

Hope you guys have a great weekend. Good trades to all. 

Video: Panic May Force Market Shutdown?

Interesting video for your viewing pleasure. Please take your time to view these clips. It is pretty meaningful.

Part 1

Part 2

Part 3

Part 4

Part 5

CNBC Interview: Jim Rogers Views

Here is Jim Roger's view from yesterday's interview on CNBC. Enjoy!!

Video: Future of Capitalism

The market has been tough to trade for the past few days. I remain as a USD bear for the next 2 months to come, will continue to look for opportunities to short USD today.

Here is an interesting video on the future of capitalism. Hope you enjoy it!

Trade: Exit Eur/Usd with Losses

The two attempts yesterday were unsuccessful. A total of 50pips were lost on stops. 

Let's see if we could make better results today. 

Cheers

Trade: Long Eur @ 1.2860

2nd attempt to long Eur/Usd for the day. Will rest for the day if this trade does not turn out as desired. 30 pips will remain as my stop. First target remains at 1.2932. 

Good trades!

Trade: Eur Stopped

All positions were stopped at -20pips. 

Looking forward to further opportunities. 

Trade: Euro Long

Hi all,

I am long 50,000 Eur/Usd at 1.2851 with a tight stop placed at 1.2831. Will be looking forward to shift stops for the moment, initial target for this trade would be at 1.2931 for the inital 30,000 to be exited.

Video: Financial Crisis

I thought this may be an interesting video for everyone's viewing pleasure after a hard day's work. It is another video worth your time on. 

Likely turn in for the day now. 

Hope you enjoy the videos. 

Good trades to all.

Part 1

Part 2

Video: US dollar Weakness to come

I wonder if this has ever come across your mind during this period of slow growth.

Trade: Exit Ascendas REIT at $1.68

Remaining holdings in Ascendas has been exited at $1.68. Reason for this exit is due to 'event risk' in tonight's Lehman CDS holdings announcements. I will continue to look for opportunities to go long in EUR/USD or GBP/USD over the next 24 to 48 hours.

Good trades to all.

Trade: Taken partial profit on Ascendas REIT

For your information,

I have already taken 70% profit on Ascendas REIT at $1.66. As there is no stop loss order for equities, remaining 30% will be targeted to exit if market gets near $1.57. 

Good trades to all.

Trade: Buying Singapore Stocks

Hi mates,

For your information, I have just bought Ascendas Real Estate Investment Trust at 1.55. This position is based on the expectation that the earnings announcement in the after hours will be better than expectation. 

My view is that there'll be growth in smaller industrial spaces, as most businesses will be looking at winding down large operations to keep businesses cost efficient.

Good trades.

Trade: Gold Trade

Would like to apologies, as this came abruptly. I made a  very quick trade on Gold for 500oz, where I was short from 799.68 and closed at 797.91. 

That should be all for today folks. 

Cheers and good trades.

Trade: Exit 50,000 at 1.7214

All positions exited at 1.7214. +30 pips.

Will post trades further should there be opportunity.

Good trades.

Trade: Short GBP/USD at 1.7244

I am short GBP/USD at 1.7244. Default stop is at breakeven. Initial target for 30,000 exit is at 1.7214. Stop currently at entry price. As market will be volatile on pre-news announcement.

Good trades

Trade: Exit 50,000 GBP/USD @ 1.3511

An early exit was made at 1.3511, as 1.3495 seems like to tough area to penetrate for the moment. This short term support may be the pivotal level for tonight's trend, therefore I feel it is worth to humble out.

There is a profit of 13 pips. Will be looking forward to further enter if situation allows. Looking forward to the next trade. 

Good trades.

Trade: Short 50,000 @ 1.3524 Eur/Usd

Hi mates,

I have just made a short Eur/Usd position @ 1.3524. Target 1.3494 to exit 30,000. Remainder will be shifted to Breakeven once 1.3494 is done. By default, stops will always be at 30 pips from entry price.

Cheers

Video: Ben Bernanke's Speech

Seems like the US stock markets do not really like Fed Chairman, Ben Bernanke appearances most of the time.

If you missed yesterday night's speech, here you go:

Part 1

Part 2

For a script on the speech, you can also access it from here.

Good trades.

Trade: GBP/USD Stop Activated

I was stopped out of my GBP/USD order @ 1.7460. Down by 30pips.

Let's look for another opportunity again.

Good trades.

Trade: Forecast for GBP/USD

The above target is my target resistance for GBP/USD within the next few sessions.

As I was away for a little too long today, I missed my entry target for today. I will be looking for a 50,000 long entry into this market if my target price at 1.7490, with stops placed at 1.7460 if this order is done.

Let's look forward to it.

Comic: How To Improve Liquidity

Funny comic. Thought this may interest you.

Comic: Is the bottom near?

Hi all,

I believe this will be in many people's mind after tonight. 

I will be back to post in my trading calls from tomorrow. Hope the comic above is entertaining for you as well. 

See ya tomorrow mates.

NYTimes.com: How This Bear Market Compares

So how is this bear market comparable to historical bears? Click here for further information.

Video: Jim Roger's Interview

If you guys have been following Jim Rogers closely over this crisis, I thought this may be an interesting one for you.

Video: Money Masters

This video may last for more than 3 hours in total, but I hope you can finish them all, it will be meaningful.

 

Video: Money as Debt

Hi all, 

Great day.

The 5-part video below is an educational program for your information. It elaborates on how we have reached this stage in the financial system, I hope all this is informative for your reference.

Part 1

Part 2

Part 3

Part 4

Part 5

Trade: Eur/Usd Exited at 1.3738

All positions exited at 1.3738.

Going for a jog. 

Cheers

Trade: 20,000 Eur/Usd for 1.3740

Hi all,

My exit target for 20,000 Eur/Usd will be 1.3740, and stops are at 1.3641.

I made a comparison between several brokers (I do not wanna name them) throughout this period, and found that most widely advertised brokers widened their spreads drastically (even up to 20 pips at times) for most major currencies, if you are ever keen on trying out a broker that maintains eur/usd consistently at 2/3 pips and gbp at 4/5 pips only, I would urge you to try out Forexyard. 

If you would like to find out more, Click here: Forexyard

Trade: Exit 30,000 Eur/Usd at 1.3675

Exit 30,000 Eur/Usd at 1.3675. Remainder 20,000 stops shifted to entry at 1.3641.

Good trades

Trade: Long 50,000 Eur/Usd @ 1.3641

Hi all,

I am long 50,000 Eur/Usd at 1.3640. Stops are placed @ 1.3610. Target for first 30,000 to exit at 1.3670.

Good trades

Trade: Stops at Breakeven Activated

Seems like the primary trend still remain doubtful. Let's see if we can ride any trends further tomorrow then. We are all square for tonight.

Cheers.

Trade: GBP/USD Stop Adjustment

Stops are adjusted to breakeven at 1.7405.

Trade: GBP/USD Exit and Re-entry

GBP/USD stopped out at breakeven for the previous position. 

Re-entered long GBP/USD at 1.7404. Stops at 1.7385.

Good trades.

Trade: Long 50,000 GBP/USD @ 1.7420

Hi mates,

I am long 50,000 GBP/USD at 1.7420. Stops at Breakeven 1.7421.

Good trades.

Trade: All orders exited

All orders exited. Will be right back.

Trade: Took 30,000 partial profit

30,000 Partial profit taken at 1.7580. 20,000 will stay at Breakeven Price 1.7526.

Good trades.

Trade: GBP Stop shifted to Breakeven

Stops are currently shifted to Breakeven @ 1.7526.

Trade: 50,000 GBP/USD Long @ 1.7525

Hi all,

I am long GBP/USD at 1.7525. Stops will be placed at 1.7496.

Good trades...

Video: Jim Cramer's View on Post Bailout

I thought this might be an interesting view for people who are still on the stock markets.

Review: Bad Trading Week

The last week has been another challenging moment for me, where I had encountered multiple setbacks in my trading. And yes, it was a challenging moment for me throughout the week, and in addition, it felt even worse when I knew I was making such lousy calls on the market. This experience has indeed humbled me a great deal, and I do hope I could share some experience of this short evaluation that I had done up over the weekend:

1. Allow the market to show its hand,  especially when it trade sideways.
2. Look out for the more liquid markets, as their volumes remains fairly thick even though volatility remains high. (e.g Eur/Usd)
3. See not trading as making money, instead of seeing it as 'not making money being the same as losing money', where to wait is not a waste of time.
4. Leverage should be greatly reduced, and stops should be widened to allow you a chance to allow your trade to work out. And that will greatly help the trader psychologically.
5. Stops must be used. In such volatile markets, there is nothing like denial (my GBP/JPY long). Admit that the trend has changed and continue with your next view. In addition, I have exited my GBP/JPY trade at 185.86. It has been painful, but I saw the rewards right after that. 

The above should suffice for the moment, and I am glad I have improved further on my trading by blogging. Over the next few days, I will be continuing to post my trades on the blog again. And for the moment, I am now left with no single opened position in the market, and all old positions have been closed.

Cheers.  

Video: Hitler's view on the Bailout

Now, Hitler has his views on the bailout.

Video: Hitler's Margin Call Part 2

Comic: Challenging week in such volatile markets

Hi all,

It's been a challenging week for me in trading. I will be going through some improvements over the weekend to thrash out the glitches on my trading system. Here's a small strip for your enjoyment. Have a great weekend.

Trade: Long Aud/Usd in range

All positions closed out. 

long 30000 aud at 0.7771, stops at 0.7700. Should be all for today. Breakout of either side will definitely emerge as a new trend. 

Good trades to all.

Trade: Closed and Reversed

Reversed to short 100,000 AUD at 0.7747. Stops at 0.7777

Cheers

Trade: New Long Aud position

I am long 1,000 AUD/USD at 0.7780, 14,000 at 0.7779, and 35,000 at 0.7792.

Good trades to all.

Review: Trading Losses and Adjustment to Trading Methodology

 Dear mates,

The day has been challenging day for me where I have realised a few mistakes that I could have been on today's losses. Yes, I have to admit that both trades today were made with negligence and with little vigilance. I will thus avoid making this same mistake by not trading between SGT 0800hrs (0000hrs GMT) and SGT 1630hrs (0830 GMT) daily, as I admit that I am not very focused within that time of the day.

Trading time horizon may be in a matter of minutes. Trades are made in a manner that will consistently look forward to an exit on the short term, although it has a primary target that will be looking forward to stay on a trend for the long term. This method may not be a conventional strategy that you may agree with, but it is something that has worked for me for a period of time. 

I shall leave no stone unturned from my next trade, in addition, I would want to remind everyone who is reading this that there is no strategy that is fool-proof and free from losses, therefore, if you are viewing my calls on a consistent basis, please reminded that losses made like what happened over the past few days may re-occur on a consistent basis, therefore I hope you can only view this with a pinch of salt, and measure the result against the actual market.

My 50,000 long AUD/USD at 0.7903 is stopped out at 0.7803 with 100pips of losses. GBP/JPY remains opened from 189.49.

Now let's rock the markets today!!! 

Trade: Update

30,000 GBP/USD was exited at 1.7721. 

Stops for 20,000 GBP/USD was shifted to entry price at 1.7682. 

Good Trades.

Trade: Long 50,000 AUD/USD @ 0.7903 and GBP/USD @ 1.7681

Hi guys,

For your info,

I am long 50,000 AUD/USD at 0.7903, as well as 50,000 GBP/USD at 1.7681. 

The stop level for both position will be 100 pips away from entry price.

Existing long position of 15,000 GBP/JPY, remains open at 189.49. 

 

Will be looking forward to reduce my position before tomorrow's voting with the congress, and the NFP announcement. 

Good trades to all.

Trade: GBPJPY Long @ 189.49

For your info,

I have just made a 15,000 long position on GBP/JPY at 189.49.