12th August 2006

Trading Index Futures (Kuala Lumpur Composite Index) for Profit

Yes, the week’s predictions were pretty spot on. The Kuala Lumpur Composite Index did not make any sharp move downward but instead inched upward and side way.

The firework will come this coming week.

My Feng Shui RSI is indicating that the Composite Index will try to test the high of 946 again. The fall will come after.

As for you traders, Monday is a time to short on the high.

Daily RSI is going to cut through 80 heading downward. If you are a cautious trader, you may want to wait for this to happen.

If composite index suddenly drop below 938, start selling.

BUT, always remember the Golden Rule. Set a cut loss point just in case.

Happy Trading.

Those Who Know Make Fewer Mistakes.

The key word is fewer. No one is perfect.