From this week onwards, I have added MACD & Stochastic into my analysis charts. Last week, I thought that the markets will end the bull run as we await for US Fed's meeting on 18 Sept (this week). But that did not happen, market made a small correction and the bull started running up again.As for the coming week, low volume expected on Monday & Tuesday, as Asia markets awaiting overnight announcement of Fed on 18 Sept. Currently, I believe that 90% traders believed that Fed will cut rate at least 0.25%, some even projected a 0.5% cuts. As for me, I belong to the 10% group, and after the anouncement, we should see a bit of retracement started.
I don't think that US will cut rate on 18 Sept because of inflation pressure, Crude oil hit record high & both Bs ( Bush and Bernanke ) have warned that they will not help people due to stock markets losses. In addition, the market have pre-dissolved the news that Fed will be cutting 0.25%. Even if Fed were to cut more than 0.25%, it tells the market that there is a problem in US. Therefore, market are likely to be weak this week.
Oh, one more thing, buy volume are in downtrend & selling volume are in uptrend ( refer to charts. )
