• Financial Freedom

    Penny Stocks

    Women’s apparel retailer J.Jill (JILL 4.86, -5.07) was hit even harder, plunging 51.1%, after lowering its forecast for third quarter same-store sales. It dropped 51.1% after JILL cut their outlook for the third quarter. It is much easier to have a big gap up or gap down for Penny Stocks, this is one of the reason why I always avoid invest or trade penny stocks or stock with low liquidity. Imagine for those holding long positions on JILL, then it gap down 51% and even you have Stop Loss order in places, it will still sell at the price at 51% lowered. This sometimes make me think, trade Options could be a…

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  • Financial Freedom

    Pre-Market Checklist – Futures

    Futures – Sideway, Bullish or Bearish Everyday before the market open, most of the traders will have a pre-market checklist to go thru. For me, the first ones in my checklist is the Futures. It will give me some initial sentiment of the market when it open. I will look at the index Futures of all the main indexes which are DJIA, S&P 500, Nasdaq 100 and Russell 2000. One of my favorite free website which I can have one glance of all the futures I needed is Finviz.com – Futures under Futures. And what I like from this is the one glance of the futures of Indexes, Energy, Commodity…

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  • Financial Freedom

    Overvalued US Market

    As at 13th April 2017, the market PE according to Wall Street Journal as per below. And it is above the average PE value, which means the market is not cheap at the moment.                                 If we further drills down to PE for each components of the indexes, about 3/4 of the components with PE above 15. Indexes % of companies with PE above 15 DOW 76.67% S&P 500 73.43% Nasdaq 77.78%

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  • Financial Freedom

    IBD Follow-Through Days : 4 clues

    IBD Follow-Through Days For IBD Investor, on every Market Correction the investor will start to stand at side way and wait for the market to turn around to Confirmed Uptrend with follow-through day appear before consider go in again to the market. During these period of market correction, we still have to follow on the market condition and building our watchlist. Below are the definition of Follow-Through Days from IBD, System developed by William J. O’Neil to identify an important change in general market direction from a definite downtrend to a new uptrend. A follow-through day occurs during a market correction when a major index closes significantly higher than the…

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    Investment Opportunities in 2016 by Adam Khoo

    Investment Opportunities in 2016 Our mentor, Adam Khoo just shared with us the Investment Opportunities in 2016 for MY and US markets. Currently both market are in downtrend, as what Adam always mentioned there is an opportunity in all market conditions. During the market correction, it is a good time to start prepare our watch list with fundamental good stocks, thus when the market is back to uptrend then we are 100% ready for it, to grab this opportunity. Fundamentally strong companies that are really undervalued with consistent increase in Sales, Net Income & Cash flow from operations, sustainable competitive advantage (highest profit margins & ROE), positive future growth drivers, price…

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