It is mid-AUGUST 2019 now ... DOW minus 700 points as I m writing here. SELLDOWN further in KLSE later ... breaking 1600 is critical ... will we be breaking 1580?
Cut-loss is CRITICALLY important if we are stuck or holding to stocks that drifting lower. Lose small ... to survive.
Not allowing emotion to be in play ... we need to manage the downside. Currently I m into mostly oversold big-cap , yet they are drifting lower without bottom to be seen.
Financial Index is oversold. So ... I m buying into this. This is the one dragging KLCI down ... the rebound of banks will see KLCI to rebound. Financial is heaviest in our KLCI. The selldown seem to be not over yet. Nibble.
Construction Index showing at support ... but the current bad sentiment could mean we may see huge downside. Avoid.
What to avoid are those small-mid caps ... speculative and hot-stocks : example KNM, GPacket and such. Also those shot-up high-high due to certain hot-news ... and those not down yet (Frontkn etc).
I hope to see ... selldown of 20-30% in those stocks like Inari, Greatec and so ... then, we will start buying again.
Hope all sit tight ... and watch the selldown show ... which expected to continue.