Singapore – Asia’s worst equity market YTD, any opportunities ahead? (29 Oct 20)

Dear all It is less than a week from the U.S. election. U.S. markets are understandably jittery. S&P500 has fallen 316 points, or 8.9% from its intraday high of 3,550 on 12 Oct 2020 to touch an intraday low 3,234 on 30 Oct 20. In fact, S&P500 has tumbled 195 points or 5.6% this week. S&P500 closed at 3,270 on 30 Oct. The media has written extensively on the risks surrounding U.S. election since months ago hence the election event risk is hardly a new one. Examples of risks which media has written about is the possibility on contested election […]

STI notched a ten year high on 2 May – is it a screaming buy for all SG stocks (11 May 18)

Dear all, Dow has logged a seventh consecutive rise and small caps as measured by S&P600 index have just closed at a record high as of 11 May 2018. Our Singapore market has also done us proud too by becoming Asia’s best performing equity market on 2 May 2018. In view of the above, is it a screaming buy for our Singapore market, especially our small caps which have under-performed? Let’s take a closer look at the charts and my personal action plan.   S&P500 closed 2,728. Day range 2,717 – 2,733 Based on Chart 1 below, S&P500 seems to […]

S&P 500 jumped 4.3% last week, the best performance since Jan 2013! Is the recent sell off over? (18 Feb 18)

Last week, all three U.S. major indices (i.e. DOW, S&P500 and Nasdaq) have registered their best weekly performance in years. Is the recent sell off over? Let’s take a look.   7 observations on the market U.S 10Y bond yield is still relatively high at 2.875% (click HERE) vis-à-vis 2.418% a year ago. If it suddenly surges to around 3%, it may fuel another sell off; Inflation based on several indicators such as core CPI / core PPI released the week of 12 – 16 Feb are rising faster than forecasts. However, market shows limited reaction towards the inflation data […]

Ernest’s market outlook (24 Feb 17)

Dear all, Dow has hit daily highs for 11 consecutive sessions, its longest streak of records since 1987! What’s next for our markets?   S&P500 Just to recap what I have mentioned on 10 Feb 2017 (see HERE), I wrote “various indicators such as RSI, MACD, OBV and MFI continue to exhibit bearish divergences. ADX has slid from 41 in Dec 2016 to close at around 18 on 10 Feb 2017, which is indicative of a trendless market. RSI closed at 70 on 10 Feb 2017. Given the various chart indications, although S&P500 continues to be on an uptrend amid […]