FBMKLCI - No Sign of Turning Back

Our FBMKLCI showed no sign of turning back, not even a short glimpse~ Today (20 March 2017) is our FBMKLCI's 3rd day's bullishing up day. And the volume just could not stop getting higher and higher. 

FBMKLCI Daily Chart

After the agreement between PETRONAS and Saudi Aramco on 1 March 2017, foreign funds had been actively buying in, which we can observe through the statistics below:

Market Participation[1]

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For the month of March, from 1 March till 20 March, foreign funds had been buying in RM2,344 Mil, whilst local institutions and local retailers had been selling at RM2,072 Mil and RM300 Mil respectively. If we look at today's volume and turnover, the volume is 6,017 Million shares and RM 3,015 Mil been traded. From here, we can deduce that the volumes are active, but the transacted value is only half of the volume. Meaning to say, mostly investors are transacting the RM0.50 priced shares or cheaper penny stocks. We can see from the top 30 volumes today.

Top 30 Volumes in 20 March 2017

The most active shares are shares that are below 0.20, penny stocks. From the FBMACE

FBMACE Daily Chart

FBMACE is now showing overbought position, from both bollinger band and also the RSI indicator. And also note the candle today is a shooting star. In a short term, the FBMACE will retrace and i believe same goes to our FBMKLCI. Anyhow, we need to stay alert. Plan your strategy ahead.

Not to forget Jack Ma is in Malaysia and is expecting to create sparks in our Malaysia market. As an advisor to Malaysian Government on the digital economy aspirations, Jack Ma is ready to launch its Alibaba regional distribution hub in Malaysia[2][3]. 

Don't panic, Jack is here~ [2]

The keyword here will be the "distribution hub", which means storage with logistics service. We might be a bit late already as Jack Ma effect had kicked in already. Let's see a few logistics counters:

GDEX Daily Chart

CENTURY Daily Chart

TNLOGIS Daily Chart

The volume is heavy for the past few days. These are all examples, we can also take a lot at other logistics, such as TASCO, FREIGH, NATWIDE.. 

Lastly, with the foreign funds showing their confidence in our country and Jack Ma show-hand in Malaysia, a lot of market retailers had been actively trading in penny stock counters. There are no right or wrong in stock investment, as long as you are making money, most probably you are on the right track. Remember to trade with a strategy, don't be greedy and keep on asking for more even though we are full. Be alert on the twist of our market. Remember what Mr Warren Buffet said...

Quote from Mr Warren Buffett

But trading with a proper strategy and with discipline can overcome the fear and greed.. Happy Investing and Happy Riding the Wind~

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Let's Ride the Wind and Gainvest

Gainvestor 10sai

21 March 2017

12.35am

Sources:

[1]: http://www.malaysiastock.biz/Market-Statistic.aspx
[2]: http://www.thestar.com.my/tech/tech-news/2017/03/20/jack-ma-to-launch-alibabas-regional-distribution-hub-in-malaysia/
[3]: http://www.thestar.com.my/news/nation/2016/11/04/alibaba-founder-jack-ma-agrees-to-be-advisor-to-malaysian-govt-on-digital-economy/