Fiscal Cliff: Key to Market

Definition of 'Fiscal Cliff' from Investopedia :

A combination of expiring tax cuts and across-the-board government spending cuts scheduled to become effective Dec. 31, 2012. The idea behind the fiscal cliff was that if the federal government allowed these two events to proceed as planned, they would have a detrimental effect on an already shaky economy, perhaps sending it back into an official recession as it cut household incomes, increased unemployment rates and undermined consumer and investor confidence. At the same time, it was predicted that going over the fiscal cliff would significantly reduce the federal budget deficit.

Stock to Watch

Potential Upside/Rebounce:

Bumitama
Genting sp
Sembmar
UOB
First reit
Wilmar

Potential downside:
Kepple reit
Olam

Weekly Pivot

STI weekly pivot levels for the week start from 12 Nov.

R3: 3087
R2: 3066
R1: 3037
PP: 3016
S1: 2988
S2: 2966
S3: 2938

Weekly Wrap

STI currently just above 3000 support, further downside is possible if it CLOSED below this level.

STI weekly:
DJI: Dow retraced to its major long term uptrend line support this week. It hit six times and rebounded in the past. Watch support @12750 in coming week.

SPX: S&p 500 still got 35 points to its major uptrend line. some more room to drop in coming week?

HSI: Formed a beasrish reversal candlestick, downside support at 20000.

STI

Olam Poised for Further Downside

My first time identified Olam got a Head and shoulder pattern was on 25 May, 2012( click HERE ), then following post on 2 Jul (click HERE ), Now I want to show you a perfect classic text book example for

1. Head and Should pattern,
2. breakout and pull back
3. Test of neckline( support turn resistance)

Wilmar Ready for Take Off

Wilmar poised for bottom out with high vol spotted on yesterday.

Obama Won 303, Dow Lost 313

Is there any rationship between Obama's win and DJI? There is certainly. But is there really such a close correlation in the numbers between Obama's votes and Dow Jones' lose? hmmm...

Obama's win of 303 votes turns to Dow's 313 points lose--its biggest lose in a year.

Note DJI dropped to its uptrend support line. The uptrend is still intact. I'm looking for long opportunities if it were rebound from here.

STI Hit New One Month Low

Obama has won the election.

STI hit new one month low early this morning amid of election result. It dropped to as low as 3013.52 then rebounding to 3033 now(12.34pm) as Obama has won the election. market rebounded.