Date: 27st April 2007

Danger Looms in May

Taking into consideration of the interactions of the elements which ISI (Interaction Strength Index) is based on, there will be a major drop in the KLCI market.

My advice to you and to my subscribers to my ISI Forecast, PLEASE and I repeat PLEASE sell all the stocks and sit on your cash and wait.

Li Xia which signifies the beginning of Summer in Chinese Astrology and the 4th month of the Chinese calendar starts on the 7th of May.

Looking from the ISI Chart, 7th May signals the start of KLCI ‘s (KL Composite Index) downward slide.

The following week may see some technical rebounds but the trend is going South.

The subsequent week sees a significant low at 24th May.

The final week sees the final low of the month at the 30th.

WOW!

I am going to predict a down of over 100 points for the month.

If you are trading Index Future, this is a good month. The Spider Strategy is finally going to pay.

Now The Strategy:

1. Sell on the 7th May.
Take profit on the same week.

2. Wait for the market rebound and sell on the high of 16th May.
Take profit on the same week.

3. Sell on the 21st May and take profit on the 24th.

Happy Trading.