20060329 The FKLI has tendency to trend well sometimes on the intraday timeframe. 

20060328 9:15 am. FKLI spot month. Remember this is a 30 min chart, many would say Bursa is a better 'trade', but with the leverage and this sort of move, I'd say FKLI is a way better trading instrument than any stock. 

20060327 Which one would you trade? The FKLI April futures, or Bursamalaysia Bhd. the answer lies in the risk profile and effective use of capital. Buying one fkli april contract at the breakot level 915 would yield a return of 11 points or 35% return on initial margin deposit of RM1,500. Buying 100 shares wuld yield a return o 21% on a cost base of RM4.70 (within the timeframe that the futures contract went up the 11 points). It can be argued that the FKLI provides a flexible and more return/risk effective trading instrument. Of course trading the stock would make the stockbroker richer, as the commission costs are relatively high. Some in the stockbroking industry would argue that trading stock (contra in this case) provide free money. But what about the risks, which are infinite if no capital outlay is required.

20060324 Short selling to be revived. A great move by the authorities. Basically a market can do 3 things: 1 go up 2 go down 3 go sideways. For so long the share trader in Malaysia are missing the 3rd (most fun) part of trading, now the way is open, and market liquidity will certainly be enhanced. 

Commendable action by Bursamalaysia, now for the follow through to clean up the sampah, not just this first action against 4 errant companies.

 

Bravo Bursamalaysia, now go the next mile

20060311 Everyday if you look at the Bursamalaysia website, we see plenty of "public reprimand" for companies breaching the Listing Rules. Bursamalaysia surveillance must be commended in bringing attention to errant public listed companies. There is an adage among participants on Bursa that there is a sector of stocks called 'rubbish' stocks. The number and frequency of breaches of Listing Rles and public reprimands brings attention to the poor quality of these sampah stocks, with no regard to corporate governance and safeguarding of minority shareholder's rights. Bursa should go the extra mile, and pblish prominently the public reprimands in major newspapers in Malaysia. I mean not in some smal corner, but in bold and prominently in noticable columns. Other action would be to fine the companies on continual breaches of the LR. There needs to be a cleanup of the stocks.

Now how would they know who bought?

20060310 The statement in the rectangle, is a prime example of nonsense. How would anyone know it were local fund buying, unless they were the ones orchestrating the buying or they told people outside they were buying blue chips. The system is set up to take money away from 90% of investors/traders wh are unwary, and get unwittingly caught up in all the news, rumours and excitement of the market. Yes 90% do lose money, either realised or unrealized, but the participants in the sell side won't be seen to allude to this very real statistic. So, it is best to have a plan of action in place, with objective rules for investing or trading and always practice good money management. Most of all con't get caught up in what the system spits out, be it news headlines, rumours or inuendo.