On Sep 7, LIVE on this very blog, I warned that the STI has touched the supply zone and I expected it to suffer some reactions and since then, for the next 5 straight days, the STI had been selling down in a liner fashion. Click below and see my Sep 7 blog post where I drew the supply line right at the peak @ 8:44am before market opens!
As I am preparing for a long trade soon and while studying the STI chart, I had drawn my demand line and getting ready when STI touches there. The selling in STI seemed to be getting weaker and I am just waiting for the knife to touch the temporary floor first at the right timing before picking it up. There are 2 x on the chart and either one would give me a clue on how strong the buyers are. I wouldn't look to short anymore as the buyers might be there getting ready anytime soon for a rebound. The market is yet in an exciting juncture.
Ronald K - Market Psychologist - A Stock Market Opportunist