Final Show Down... What ending will this follow? Blame who?

Lately the market have much to talk about. With the US federal reserve cutting it interest rate to nearly 0%!!! Obama Financial Dream Team named... the market was in a good state for the last month or few weeks.

The sad thing is there is noting done to fix the core of this financial crisis. only thing the Bush administration did was to cut interest rate and try to ease the recession.

They are out of idea(they never have an idea actually), and they are desperate. That's undoubtly the last bullet US Federal Reserve fired(interest rate to 0%)...

So what's next?

Well it's new year soon. Usually at this time of the year the market will boost for many reason.

Retail always do well on this time of the year...

Also usually when a New President took over in US the market always boost(like what they say about the stock market will sure bull 6 months before presidential election...ha ha).

Well if you believe in thing like that the market will no doubt boost(in your dream i guess).

The truth is the problem is not solve never solve... and there is honestly no solution for it to be solve (at least with in the near future). No matter what the new Obama Dream Team do... it wont fix a thing.

The only problem(biggest) we are facingis the lost of confident of the investor in the current market. In the good name of any god you believe... believe this. Confident take times... to talk about how the whole system work... it might take me more than 100 pages to tell you all about that.

Blame the American banking system? Blame the American? Blame the investor them self? Blame the chinese government...?

Bottom line... stock market need at least 3-5 years just to get back into bull status. Enjoy.

Market Analyst: for up coming Monday!

Reason to Bull:
1) Technical Analyst(expecting a small bull market)
2) Expecting Steel making companies is going for another round of bull run, as Malaysia Government will lift the steel price on this Monday. Also the government is going to allow the steel company to export their products oversea.
3) CPO price rise had been pushing the plantation industry for the last week. looking at the chart Monday is likely to be another good day for the CPO market.


Reason to Bear:
1) Bad external, all Nikkei, Hang Seng, Strait Times, and Dow Jones is not looking good at the moment with all gone down on Friday.

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Extra:
1) The steel companies had gain a lot since last week, even before the news break up. Maybe the news was licked before it go to public. So if that's the case then the possibility of Steel maker to push the index up is unlikely to happened.

2)CPO although likely to move up on Monday(according to the chart). But analyst is predicting a down fall of the CPOby the end of the week.

How to trade FKLI?

KLCI is made up from 100 selected company in Malaysia. And now the Index is traded at approximately 1285.00 points.

FKLI is the Future price of the KLCI at selected expired date(last business day of that month).

Each point of CI is worth RM50.00. So the theoretical price of FKLI is some where around RM64,500.00.

However each contract you buy only need RM6000.00. And you can choose to either buy it up(long) or buy it down(short).

This market is a little aggressive. But it is almost impossible to do insider trading as it accumulate a huge market. So it is a fair market.

What's FKLI....?

FLKI is simply the Futures of Kuala Lumpur Composite Index. Following is the link from Bursa Malaysia about some basic details about FKLI.

This is my first post, and i promise u every post that follow it will be almost this long. I hate long stupid no point essay and i believe most people are too. so let us keep it this way. thanks.

You read and understand, if not leave me a messege i will reply you as soon as possible. http://www.klse.com.my/website/bm/products_and_services/derivative_resources/derivatives-klci-futures.html