Bullish KLSE... Finally

2.1 Billion transaction volume. WOW. That should be a strong rallying signal most retail investors awaiting for quite some time.

Being through few years of consolidation, it seems like investors are kinda optimistic and motivated when the market sentiment turning green only for a few days.

Yes, i admitted that the KLSE index has passed the critical resistance line of 954 and showing strong uptrend, but always remember that index is controlled by the component stocks and thus might not be reflecting the actual distribution of increment margin among all the counters. Plenty of good quality stocks still at their previously plunged price (Yeah, great chance to put your hot money into these and wait for the good news).

For those that closely observed KLSE for the past few years, they know that Malaysia KLSE is kinda weird and pathetic. In the past, announcement of good news doesn't linearly correlated to the market movement. Political stability, increased GDP, RM unpegged and so many other positive news failed in the attempt in rejuvenating this market. The difference is that each of them comes one after another and usually is countered by another negative happening.

This time, retrenchment of crude oil price below USD70, greatly increased appreciation of RM against USD, more generous 9MP plan, stronger political determination (Voiced against ex-PM comments), cleaning up of lame public servants, better corporation outlook and more stable regional political status. Not to mention possible rate hike of TNB electricity and interest rate.

Too good to be true? You bet on it. The question now is: How long will the effect of goodness sustains before the next wave of negativity comes? One week or less? No one will know. The best part is that you can just grab as much money as you can, and runaway with it now.

Rebellous IRAN against US demands, possible greater trade deficit, returns of oil price nightmare, uncontrolled inflation rate, busts of local property market, political instability of Thailand and Indonesia (Again!) and fall back on regional competition. Hahahaha, yeah, now you know what is awaiting you at the end of this road. The best of these is, once the bubble of speculated, high volume counters busted, it is the domino effect that I personally would enjoy to see. Remember IRIS? or even better remember Tech Venture?