US is printing the money, but no impact to the stock market?
US government plan to print money again, another QE3, market observer expect Dow Index continue to climb higher. However, Dow Index did not make high record after the announcement as what we had seen when QE2 announcement. Seem the market is waiting for next indicator to spark the movement. My thought is, the Bull now a bit tired (after 3 years and 7 months), it could due for correction anytime soon. What would be the investment strategy for last quarter of 2012?
Sales strategy for Astro IPO
For Bursa Malaysia, Astro IPO will list on 19 Oct 2012. Everyone is talking about it now, I suggest those who strike the shares, use the strategy similar to Felda IPO. The idea is sell on 1st or 2nd day after listing. (just check on the price of Felda on 1st day of listing and compare with the price today, you will understand why) This is the strategy we use when anticipate market at the high level.
Try to avoid Malaysia Stock for next few months
The next 6 months, something BIG may happen in Malaysia, in view of currently high level, my advise is try not to buy any Malaysia stock for the time being. If something happen, there are a lot of opportunity for you to buy at low level. However, high dividend stock is not a problem for you to hold on.
China Stock market + an opportunity
While Malaysia and US stock market are near the high level, China stock market was actually on the down trend for the past 2 years. Recently, we noticed that China stock market seem to stable and did not break lower low anymore. It may be a good idea if you can invest into China stock market and I do believe if US market crash, China will benefit from it.
If you want to invest into China market, I recommend CIMBC25 (ETF, stock code 0823EA, list on Bursa). Technically, invest in CIMBC25, you actually own 25 China blue chip stocks list on HK Exchange. (I have been trading on CIMBC25 for the past one years) If you know how to make use of 5 to 10% monthly movement (depend on your skill) combine with creative trading, then making money with this single stock is not a problem. I just sold some unit last week, you may refer to my trading record as below:
Again, I want to remind, one man's meat is another man's poison. If you have NO idea how trade CIMBC25, please observe first, if you just want to buy and hold, then should not buy this stock, for details, you may refer to my blog as below:
Do write me an email if there's any query. Good luck and Happy Investing!
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