For a trader, winning is extremly dangerous if you haven't learned how to monitor and control yourself.

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Monday, August 8, 2011

Black Monday

STI nosedived another 110 points to closed at 2884.

My momentum monitor chart tells me STI is at the stage of extremely oversold. The short side is currently the wrong side to be establishing new positions at this moment in time. Market has been in crazy selling -off mode for past week,  it's 330 points evaporated in just five days including today.

In below chart, every time it rebounded in the past when it went below 60 level. It went below 60 again today.




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