Outlook for 1 Oct 2007

I have some difficulty showing you the R1 vaule on the chart. For STI R1 at 3720 & R2 at 3810.
And Dow R1 at 14041 & R2 at 14200.
Please look closely at the red & green arrows showing the volume in the charts. There is also a divergence of MACD histogram & DJI index.
( Refering to Dow Jones) This month of Sept we made a 4.03% gain, the last time that a month of Sept with this good performance is in 1998. I believe that the month of Oct we will have a correction. Only time will tell.

China Index near Support Line.

There is a divergence between stock index and MACD lines. Refer to the link below, sell volume are higher than buy volume.
http://www.sse.com.cn/sseportal/en_us/ps/md/sh_b_qck.jsp?code=000001.SS&cycle=1

Outlook for 26 Sept 2007

Looking at the trading Volumes, Sell volume are getting stronger. Do keep track of the trading volume in the next few days, a reverse may happen as we moving toward historical high. We need a strong buy volume to break these levels.

Outlook for 17 Sept 2007

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. )