Friday, 2 March 2012

ISM did not beat expectations, however Market is forgiving


Dear Friends,

Yesterday ISM did not beat expectations. The Institute for Supply Management said its manufacturing index declined to 52.4% last month from 54.1% in January. Economists polled by MarketWatch had expected a reading of 55% for February based on improving regional results and employment data.

However I also noticed that market is forgiving in not going down after the poor report. For this, I have to say that currently the market is resilient! Unless there is a change in the market confidence and sentiment, we can still remain bullish.

Take note however that, Market Risk is growing higher by the day. Even if u enter, u will need to control your position and exercise disciplined STOP LOSS. If u have position in the market, u may still hold on to your stocks unless market changes.

After yesterday ISM report, I would not expect DOW to increase by quite a lot this month. And a lot will depend on Next Friday employment data too.

Will carry on monitoring the market. Any changes would be posted...

Rgds

STI is the Only Flower stuck in a pile of Cow Dung! - The only major index in Asia that is in the Green

Dear Friends, A few days ago, I issued a post on where I think is the accumulation area of STI - 3300-3350. Yesterday it dropped into thi...