Funds Flow Analysis (FFA): 5 November 2013, Tuesday, 3.30pm Singapore Time

Current Latest Computed Funds Flow Analysis (FFA):

For Worldwide Financial Markets:

5 November 2013, Tuesday, 3.30pm Singapore Time

The Donovan Norfolk Ang Funds Flow Analysis Indicator 

for Worldwide Financial Markets 
5 November 2013, Tuesday

Broad Markets / Big Markets / Big Wind Directions

European markets are 30 minutes away from opening for trading, while US markets (Dow, S&P500 and NASDAQ) are 7 hours 00 minutes away from the opening bell. 

Based on current latest computational results, Holdings Index Strength of Big Hands changed from -0.646 to -1.986 in strength on the Donovan Norfolk Funds Flow Index Oscillator. On the other front, Big Hands' Puts holdings on hand changed from -5.321 to -6.267 in strength on the Donovan Norfolk Funds Flow Index Oscillator. 

Broad/Big Market (Big Wind Direction) Short-Term / Mid-Term Posture by Big Hands:

+ Big Hands continue to execute dual sells for the 3nd consecutive trading day (since last Friday).

+ Slight net Shorts in Holdings have now turned to become shorts of some strength

+ Continual increase in Puts for yet another trading day (amount of puts are now at bloated levels).
+ Big Hands' persistence in Puts (refer chart above) are now showing signs of intentions: correction brewing strong now.

+ For second week in a row, Smart Money are using immediate term correction to spike up Puts' prices.

+ Big Hands' Puts since last week are in the money now (i.e. in profits again).

+ Market-Movers are still looking to execute short term corrections on indices, index stocks, big cap stocks and mid cap stocks worldwide as per reiterated last week.

+ Short-term healthy corrections are expected to be executed with more force now; however, do bear in mind that mid-term worldwide market outlook is still upwave-biased despite this anticipated short term sell-down which may have some powerful selling.

+ As the Puts kept on increasing, short-term corrections within the larger mid-term upwave is expected to be in place now. The following are the short term sell-down correction targets as per reiterated since last week:

+ Below are the short-term sell-down correctional targets 
(you might like to refer to the accompanying detailed analysis links below too):

1. Malaysian FKLI: 1,790 points and a whipsaw just below 1790 points.(refer: http://donovan-ang.blogspot.sg/2013/10/fkli-index-25-october-2013-1215pm.html) 

2. Hong Kong Hang Seng Index: 22,000 points and 22,770 points. 

3. UK FTSE100: 6500-6550 points.

4. European Euro STOXX50: 2804 points.

5. US NASDAQ Composite: 3700 points.

6. Germany DAX: 8700-8750 points. (refer: http://donovan-ang.blogspot.sg/2013/10/dax-index-25-may-2013-friday-548pm.html)

7. EURUSD (Euro-USD): 1.34000 (refer: http://donovan-ang.blogspot.sg/2013/11/eurusd-3-november-2013-sunday-400pm.html)

8. GBPUSD (BritishPound-USD): 1.57000-1.57500

9. NZDUSD (NewZealandDollar-USD): 0.81000

9. AUD, NZD, EUR, GBP, JPY, CAD, CHF will generally be weak until the corrections end. 

+ FFA Litmus Test Results:

Short-term corrections are expected to be executed with more force now in International financial markets worldwide: Stocks, Equities, Indices, Commodities, Forex: EURUSD, GBPUSD, AUDUSD, NZDUSD, CANADIAN DOLLAR CAD, SWISS FRANC CHF AND JAPANESE YEN JPY, Gold, Silver, Crude Palm Oil and Crude Oil. These are, however, still within a mid-term relief rally bounce and any short term corrections are to be judged as healthy retracements within the larger mid-term upwaves.

+ Below are the much larger mid-term upwave targets that still hold:

+ Financial Markets, Commodities Markets, Oil, Gold, Silver and Forex markets (EURUSD, GBPUSD, Swiss Franc, Japanese Yen, Canadian Dollar, AUDUSD, NZDUSD) are still expected to have some more upside against the US Dollar, and this upside is expected to be healthy until I turn big reversal.

+ Expectations are still unchanged: FCPO 3000RM as target, Gold $1500-$1550 as first target and $1750-$1800 as second target, Silver $30.000 as target, Golden Agri (Palm Oil Stock) S$0.60 as 1st target and S$0.74 as 2nd target, AUDUSD $0.96 as first target and $1.00 parity as 2nd target, USDJPY ￥83.54-￥84.00 as final target, India CNX Nifty Index 6188-6320 as up-move target and break-out of 6320 points for uncharted rally as second target, and Oil $118.00-$120.00 as tentative target, FKLI 1900 points as target, or until I turn big reversal.

+ Special Note: 

Each of the respective asset class markets (Gold, Silver, Crude Oil, Palm Oil, Commodities, Forex, Stocks and Worldwide Stock Market Indices) have moved in my directions since.

+ So far, only Indian Nifty Index, AUDUSD has hit initial targets as above listed. 

+ More upsides in worldwide financial markets (Stocks, Equities, Indices, Commodities, Forex: EURUSD, GBPUSD, AUDUSD, NZDUSD, CANADIAN DOLLAR CAD, SWISS FRANC CHF AND JAPANESE YEN JPY, Gold, Silver, Crude Palm Oil and Crude Oil)  are still expected after this short term correction selldown (refer past analyses).

+ Japan's QE effects are wearing out, Nikkei-225 may become the weakest link of international financial markets when the rising tide ends.

Broad/Big Market (Big Wind Direction) Long Term Outlook by Big Hands:

All Markets are currently attempting to negate long term bear structures.

The depth of this anticipated short term sell-down will reveal clearer skies now.

-----------------------------------------------------------------------------------------------------------------

Donovan Big Hands Funds Flow Computational Oscillator

-----------------------------------------------------------------------------------------------------------------

Donovan's Funds Flow Analysis Index Oscillator:

-10 ----- 0 ------+10

Donovan's Funds Flow Analysis Strength-Index Scale Key:

negative (-ve) = shorting;

positive (+ve) = longing;

0: No shorts and no longs (direction-less)

1-2: Weak strength / weak holdings

3-4: Moderate strength / moderate holdings

5-6: Strong strength / high holdings

7-8:Very strong strength / very high holdings

9-10:: Rally Mode in store if +ve / Plunging Mode in store if -ve

Implication of Broad Markets/Big Markets/Big Wind Indices Directions

If it is a rising tide in Index Big Wind, most or almost all stock boats generally rise;

If it is a receding tide in Index Big Wind, most or almost all stock boats generally go lower.

Hence the importance of Big Wind Directions blown by Big Hands.

Donovan Norfolk Ang

Funds Flow Analysis (FFA): 4 November 2013, Monday, 3.45pm Singapore Time

Current Latest Computed Funds Flow Analysis (FFA):

For Worldwide Financial Markets:

4 November 2013, Monday, 3.45pm Singapore Time

The Donovan Norfolk Ang Funds Flow Analysis Indicator 

for Worldwide Financial Markets 
4 November 2013, Monday

Broad Markets / Big Markets / Big Wind Directions

European markets are 15 minutes away from opening for trading, while US markets (Dow, S&P500 and NASDAQ) are 6 hours 45 minutes away from the opening bell. 

Based on current latest computational results, Holdings Index Strength of Big Hands changed from +3.213 to -0.646 in strength on the Donovan Norfolk Funds Flow Index Oscillator. On the other front, Big Hands' Puts holdings on hand changed from -3.649 to -5.321 in strength on the Donovan Norfolk Funds Flow Index Oscillator. 

Broad/Big Market (Big Wind Direction) Short-Term / Mid-Term Posture by Big Hands:

+ Big Hands continue to execute dual sells for the 2nd consecutive trading day (since last Friday): Reduction in Longs to become slight net Shorts in Holdings now, and continual increase in Puts for yet another trading day (amount of puts are now at bloated levels).

+ For second week in a row, Smart Money are using immediate term correction to spike up Puts' prices while persistently not accumulating much shorts.

+ Big Hands' Puts since last week are again in the money now (i.e. in profits now again).

+ Market-Movers are still looking to execute short term corrections on indices, index stocks, big cap stocks and mid cap stocks worldwide as per reiterated last week.

+  Short-term healthy corrections are expected to be executed anytime now; however, do bear in mind that mid-term worldwide market outlook is still upwave-biased.

+ Posture: Short-term corrections to be in place within the larger Mid-term upwave, with the short-term correction enough to shakeout weak holders and larger upwave expected to last till Christmas/Chinese New Year based on current estimation. 

+ Any immediate-term/short-term corrections worldwide will create effective noise/smoke, but based on totality analysis, they are to be taken as subsets of healthy mid-term upwave movements.

+ Investors/Bulls could re-accumulate buys on dips on quality equities and stocks for the larger mid-term rallies per reiterated since end-August and early-September.

+ As the Puts kept on increasing, short-term corrections within the larger mid-term upwave is expected to be in place now. The following are the short term correction targets as per reiterated since last week:

+ Below are shallow short-term correction targets of any correction, if it comes, so that the rally can go even higher:

1. Malaysian FKLI: 1,790 points and a whipsaw just below 1790 points.(refer: http://donovan-ang.blogspot.sg/2013/10/fkli-index-25-october-2013-1215pm.html) 

2. Hong Kong Hang Seng Index: 22,000 points and 22,770 points. 

3. UK FTSE100: 6500-6550 points.

4. European Euro STOXX50: 2804 points.

5. US NASDAQ Composite: 3700 points.

6. Germany DAX: 8700-8750 points. (refer: http://donovan-ang.blogspot.sg/2013/10/dax-index-25-may-2013-friday-548pm.html)

7. EURUSD (Euro-USD): 1.34000 (refer: http://donovan-ang.blogspot.sg/2013/11/eurusd-3-november-2013-sunday-400pm.html)

8. GBPUSD (BritishPound-USD): 1.57000-1.57500

9. NZDUSD (NewZealandDollar-USD): 0.81000

9. AUD, NZD, EUR, GBP, JPY, CAD, CHF will generally be weak until the corrections end. 

+ Note that the short-term corrections are expected to be shallow and are to be taken as healthy retracement. Shorting can still be profitable but reward-risk ratio may not be good compared to buying-on-dip.

+ FFA Litmus Test Results:

International financial markets worldwide (Stocks, Equities, Indices, Commodities, Forex: EURUSD, GBPUSD, AUDUSD, NZDUSD, CANADIAN DOLLAR CAD, SWISS FRANC CHF AND JAPANESE YEN JPY, Gold, Silver, Crude Palm Oil and Crude Oil) are still within a mid-term relief rally bounce and any short term corrections are to be judged as healthy retracement within larger mid-term upwaves.

+ Below are the much larger mid-term upwave targets that still hold:

+ Financial Markets, Commodities Markets, Oil, Gold, Silver and Forex markets (EURUSD, GBPUSD, Swiss Franc, Japanese Yen, Canadian Dollar, AUDUSD, NZDUSD) are still expected to have some more upside against the US Dollar, and this upside is expected to be healthy until I turn big reversal.

+ Expectations are still unchanged: FCPO 3000RM as target, Gold $1500-$1550 as first target and $1750-$1800 as second target, Silver $30.000 as target, Golden Agri (Palm Oil Stock) S$0.60 as 1st target and S$0.74 as 2nd target, AUDUSD $0.96 as first target and $1.00 parity as 2nd target, USDJPY ￥83.54-￥84.00 as final target, India CNX Nifty Index 6188-6320 as up-move target and break-out of 6320 points for uncharted rally as second target, and Oil $118.00-$120.00 as tentative target, FKLI 1900 points as target, or until I turn reversal.

+ And the ULTIMATE BIG TARGET: Stocks Worldwide and across the international boards to rally on every overbought and on top of public disbelief. 

+ Emerging Markets, ASEAN markets, Asia Markets and Peripheral European Markets are expected to outperform: Risk-on Rallies worldwide still expected together with Gold, Silver and Commodities, and will continue up-move until I turn reversal.

+ Special Note: 

Each of the respective asset class markets (Gold, Silver, Crude Oil, Palm Oil, Commodities, Forex, Stocks and Worldwide Stock Market Indices) have moved in my directions since.

+ So far, only India SGX/CNX Nifty Index, AUDUSD has hit initial targets as above listed. 

+ More upsides in worldwide financial markets (Stocks, Equities, Indices, Commodities, Forex: EURUSD, GBPUSD, AUDUSD, NZDUSD, CANADIAN DOLLAR CAD, SWISS FRANC CHF AND JAPANESE YEN JPY, Gold, Silver, Crude Palm Oil and Crude Oil)  are still expected (refer past analyses).

+ Japan's QE effects are wearing out, Nikkei-225 may become the weakest link of international financial markets when the rising tide ends.

Broad/Big Market (Big Wind Direction) Long Term Outlook by Big Hands:

+ Weak markets (e.g. Philippines, India, Korea etc) had entered into Bear Market Zones at high points previously.

+ Strong markets (e.g. US, Singapore, Germany, etc) had held on to critical supports temporarily and will attempt to bounce off these critical supports; these critical supports will get tested repeatedly (their critical supports are still being tested currently).

+ US markets (DJIA, S&P500 and NASDAQ) will go on to make all time new highs while all other markets are still in support-turned-resistance testing modes.

+ Rebounds of emerging economies will merely be dead cat bounces.

In essence, there will be 3 groups of BIG MARKET MOVEMENTS from now:

1st Group (Weak Markets): 

Weak markets such as Korea KOSPI , Philippines, Indonesia, Spain IBEX etc.

These markets already broke down critical supports which denote initial bear market stage; these will do dead cat bouncing back-tests (falling knife dead cat rebounds). 

Sell on rebounds.

2nd group (Mid-strength Markets): 

Singapore STI, Hong Kong HSI, UK FTSE100, France CAC, Italy MIB, Spain etc

These markets will rebound off critical supports now (STI 2925-3065 pts, HSI 19000-19500 pts, FTSE-UK 5900-6000 pts as analysed previously), with no breakdowns yet. Refer to all past technical analyses.

Ride, observe and be cautiously ready to sell.

3rd grp (Strong Markets): 

US Markets of S&P500, DJIA and NASDAQ, German DAX as well as Malaysian KLCI

These markets may hover at all time new highs and throw a big array of confusions to traders, investors and analysts. While US hover around all time new highs, weak markets' rebounds will confirm bear market and mid-strength markets may transit to bear market phase in this rebound.

Ride and observe and be cautious.

-----------------------------------------------------------------------------------------------------------------

Donovan Big Hands Funds Flow Computational Oscillator

-----------------------------------------------------------------------------------------------------------------

Donovan's Funds Flow Analysis Index Oscillator:

-10 ----- 0 ------+10

Donovan's Funds Flow Analysis Strength-Index Scale Key:

negative (-ve) = shorting;

positive (+ve) = longing;

0: No shorts and no longs (direction-less)

1-2: Weak strength / weak holdings

3-4: Moderate strength / moderate holdings

5-6: Strong strength / high holdings

7-8:Very strong strength / very high holdings

9-10:: Rally Mode in store if +ve / Plunging Mode in store if -ve

Implication of Broad Markets/Big Markets/Big Wind Indices Directions

If it is a rising tide in Index Big Wind, most or almost all stock boats generally rise;

If it is a receding tide in Index Big Wind, most or almost all stock boats generally go lower.

Hence the importance of Big Wind Directions blown by Big Hands.

Donovan Norfolk Ang

Biosensors: 4 November 2013, Monday, 2.50pm Singapore Time

Biosensors: 4 November 2013, Monday, 2.50pm Singapore Time
Chart Courtesy of Chartnexus

Attached above is the chart of Biosensors.

This stock is an example of a currently sinking boat within a mid-term rising tide. 

As short-term corrections are expected to be in place now based on International Funds Flow Analysis, Big Hands will use short term corrections in indices worldwide to hammer weak stocks with such weak price structures as illustrated above.

As above: Weak-Rebound hits Resistance and Tested Resistance Successfully at $1 area. 

Next target for Biosensors is hence to get hammered during short term corrections and:

1. break down 93 cents (1st target). With Volume.

2. break down 82 cents (2nd target). With Volume.

Donovan Norfolk Ang

Equation: 4 November 2013, Monday, 9.52am Singapore Time

Equation: 4 November 2013, Monday, 9.52am Singapore Time

Chart Courtesy of Chartnexus

Attached above is the chart of Equation.

Equation broke down the PINK support as illustrated above and went through a volume-less flush-down.

It is touching a long-term trend support formed by the BLUE wedge. In addition, a mid-long term ORANGE support is also acting as a launchpad for rebound. Not all stocks need to react to short-term index correction, especially penny stocks.

With BLUE and PINK launchpad supports acting as triggers, Equation is poised for strong buy-ups and a strong rebound to backtest the RED CIRCLED resistances as follow:

Target 1: $0.013 (upside of at least +30% profits without leverage)

Target 2: $0.017 (upside of at least +70% profits without leverage)

Donovan Norfolk Ang

EURUSD: 3 November 2013, Sunday, 4.00pm Singapore Time

EURUSD: 3 November 2013, Sunday, 4.00pm Singapore Time

Attached above is the EURUSD Chart. 

All illustrations and explanations of what is happening and what is going to happen is as illustrated above in the chart.

Just like the worldwide indices, commodities, stocks and equities, Euro is undergoing a short term correction within a mid term rally. Reversal point to trigger resumption of larger mid-term wave rally is at 1.33900-1.34000 (1st re-accumulation/re-addition of longs) and 1.31900-1.32000 (2nd re-accumulation/re-addition of longs).

Upside Target (Long on Dip Current Short Term Correction as illustrated above):
1st Target Price: Around 1.390000 as first target to unload half
2nd Target Price: Break up of 1.40000 to unload the remaining half (Will update more when 1.40000 hits)

There are a total of 4 very powerful supports as above supporting this mid-term pump-up operation.

Donovan Norfolk Ang

Funds Flow Analysis (FFA): 1 November 2013, Friday, 4.20pm Singapore Time

Current Latest Computed Funds Flow Analysis (FFA):

For Worldwide Financial Markets:

1 November 2013, Friday, 4.20pm Singapore Time

The Donovan Norfolk Ang Funds Flow Analysis Indicator 

for Worldwide Financial Markets 
1 November 2013, Friday

Broad Markets / Big Markets / Big Wind Directions

European markets are in the first 20 minutes of trading, while US markets (Dow, S&P500 and NASDAQ) are 6 hours 10 minutes away from the opening bell. 

Based on current latest computational results, Holdings Index Strength of Big Hands changed from +7.419 to +3.213 in strength on the Donovan Norfolk Funds Flow Index Oscillator. On the other front, Big Hands' Puts holdings on hand changed from -2.918 to -3.649 in strength on the Donovan Norfolk Funds Flow Index Oscillator. 

Broad/Big Market (Big Wind Direction) Short-Term / Mid-Term Posture by Big Hands:

+ Big Hands were large dual-longs since 3 days ago.
+ For today, Big Hands are dual sells: Reduce some Longs and increase in Puts.

+ Smart Money used immediate term correction to spike up Puts Holdings' prices while concurrently Longs in the financial markets.

+ This simultaneous action creates noise/confusion and facilitates for re-accumulations while profiting from puts.

+ Big Hands are not shorting the markets despite consolidations, they are merely holding puts as short term downside-selling protections.

+ For today, Big Hands are consolidating their longs while increasing puts as protections.

+ Market-Movers are cautiously bullish-biased in outlook for the mid-term.

+ Overall Funds Actions Structure:  November-December Rally is expected, with Mid-Term large upwave since September still in the midst of execution; all Short-Term corrections are occurring within a very strong Mid-Term Upwave Rally, so if one is shorting, it is considered a Mid-Term Counter-FFA trade. Counter-FFA have high risks when one is wrong.

+ Any immediate-term corrections are to be taken as subsets of healthy and larger mid-term upwave movements, as per reiterated during end-August/early-September warning of a large wave relief rally when everyone were selling on US Government Shutdown while Big Hands bought up cheaply.

+ Posture: BULLISH-BIASED mid-term wave to last till Christmas in current estimation. 

+ Investors/Bulls could re-accumulate buys on dips for the larger mid-term rallies per reiterated since eng-August and early-September.

+ As the Puts keep on increasing, short-term corrections within the larger mid-term updrives could be in place now. The following are the short term correction targets as per reiterated previously:

+ Below are shallow short-term correction targets of any correction, if it comes, so that the rally can go even higher:

1. Malaysian FKLI: 1,790 points and a whipsaw just below 1790 points.(refer: http://donovan-ang.blogspot.sg/2013/10/fkli-index-25-october-2013-1215pm.html) 

2. Hong Kong Hang Seng Index: 22,000 points and 22,770 points. (refer: http://donovan-ang.blogspot.sg/2013/10/hang-seng-index-intraday-25-october.html)

3. UK FTSE100: 6500-6550 points.

4. European Euro STOXX50: 2804 points.

5. US NASDAQ Composite: 3700 points.

6. Germany DAX: 8700-8750 points. (refer: http://donovan-ang.blogspot.sg/2013/10/dax-index-25-may-2013-friday-548pm.html)
7. EURUSD (Euro-USD): 1.34000
8. GBPUSD (BritishPound-USD): 1.57000-1.57500
9. NZDUSD (NewZealandDollar-USD): 0.81000

9. AUD, NZD, EUR, GBP, JPY, CAD, CHF will generally be weak until the corrections end. 

+ However, note that the short-term corrections are expected to be shallow and are to be taken as healthy ones. Shorting can still be profitable but reward-risk ratio may not be good compared to buying-on-dip.

+ FFA Litmus Test Results:

International financial markets worldwide (Stocks, Equities, Indices, Commodities, Forex: EURUSD, GBPUSD, AUDUSD, NZDUSD, CANADIAN DOLLAR CAD, SWISS FRANC CHF AND JAPANESE YEN JPY, Gold, Silver, Crude Palm Oil and Crude Oil) are still within a mid-term relief rally bounce and any short term corrections could be expected until the above targets are met. These short term corrections are to be judged as healthy retracements within larger mid-term upwaves.

+ Below are the much larger mid-term upwave targets that still hold:

+ Financial Markets, Commodities Markets, Oil, Gold, Silver and Forex markets (EURUSD, GBPUSD, Swiss Franc, Japanese Yen, Canadian Dollar, AUDUSD, NZDUSD) are still expected to have some more upside against the US Dollar, and this upside is expected to be healthy until I turn big reversal.

+ Expectations are still unchanged: FCPO 3000RM as target, Gold $1500-$1550 as first target and $1750-$1800 as second target, Silver $30.000 as target, Golden Agri (Palm Oil Stock) S$0.60 as 1st target and S$0.74 as 2nd target, AUDUSD $0.96 as first target and $1.00 parity as 2nd target, USDJPY ￥83.54-￥84.00 as final target, India CNX Nifty Index 6188-6320 as up-move target and break-out of 6320 points for uncharted rally as second target, and Oil $118.00-$120.00 as tentative target, FKLI 1900 points as target, or until I turn reversal.

+ And the ULTIMATE BIG TARGET: Stocks Worldwide and across the international boards to rally on every overbought and on top of public disbelief. 

+ Emerging Markets, ASEAN markets, Asia Markets and Peripheral European Markets are expected to outperform: Risk-on Rallies worldwide still expected together with Gold, Silver and Commodities, and will continue up-move until I turn reversal.

+ Special Note: 

The respective asset class markets (Gold, Silver, Crude Oil, Palm Oil, Commodities, Forex, Stocks and Worldwide Stock Market Indices) have moved in my directions since.

+ So far, only India SGX/CNX Nifty Index, AUDUSD has hit initial targets as above listed. 

+ More upsides in worldwide financial markets (Stocks, Equities, Indices, Commodities, Forex: EURUSD, GBPUSD, AUDUSD, NZDUSD, CANADIAN DOLLAR CAD, SWISS FRANC CHF AND JAPANESE YEN JPY, Gold, Silver, Crude Palm Oil and Crude Oil)  are still expected (refer past analyses).

+ Japan's QE effects are wearing out, Nikkei-225 may become the weakest link of international financial markets when the rising tide ends.

Broad/Big Market (Big Wind Direction) Long Term Outlook by Big Hands:

+ Weak markets (e.g. Philippines, India, Korea etc) had entered into Bear Market Zones at high points previously.

+ Strong markets (e.g. US, Singapore, Germany, etc) had held on to critical supports temporarily and will attempt to bounce off these critical supports; these critical supports will get tested repeatedly (their critical supports are still being tested currently).

+ US markets (DJIA, S&P500 and NASDAQ) will go on to make all time new highs while all other markets are still in support-turned-resistance testing modes.

+ Rebounds of emerging economies will merely be dead cat bounces.

In essence, there will be 3 groups of BIG MARKET MOVEMENTS from now:

1st Group (Weak Markets): 

Weak markets such as Korea KOSPI , Philippines, Indonesia, Spain IBEX etc.

These markets already broke down critical supports which denote initial bear market stage; these will do dead cat bouncing back-tests (falling knife dead cat rebounds). 

Sell on rebounds.

2nd group (Mid-strength Markets): 

Singapore STI, Hong Kong HSI, UK FTSE100, France CAC, Italy MIB, Spain etc

These markets will rebound off critical supports now (STI 2925-3065 pts, HSI 19000-19500 pts, FTSE-UK 5900-6000 pts as analysed previously), with no breakdowns yet. Refer to all past technical analyses.

Ride, observe and be cautiously ready to sell.

3rd grp (Strong Markets): 

US Markets of S&P500, DJIA and NASDAQ, German DAX as well as Malaysian KLCI

These markets may hover at all time new highs and throw a big array of confusions to traders, investors and analysts. While US hover around all time new highs, weak markets' rebounds will confirm bear market and mid-strength markets may transit to bear market phase in this rebound.

Ride and observe and be cautious.

-----------------------------------------------------------------------------------------------------------------

Donovan Big Hands Funds Flow Computational Oscillator

-----------------------------------------------------------------------------------------------------------------

Donovan's Funds Flow Analysis Index Oscillator:

-10 ----- 0 ------+10

Donovan's Funds Flow Analysis Strength-Index Scale Key:

negative (-ve) = shorting;

positive (+ve) = longing;

0: No shorts and no longs (direction-less)

1-2: Weak strength / weak holdings

3-4: Moderate strength / moderate holdings

5-6: Strong strength / high holdings

7-8:Very strong strength / very high holdings

9-10:: Rally Mode in store if +ve / Plunging Mode in store if -ve

Implication of Broad Markets/Big Markets/Big Wind Indices Directions

If it is a rising tide in Index Big Wind, most or almost all stock boats generally rise;

If it is a receding tide in Index Big Wind, most or almost all stock boats generally go lower.

Hence the importance of Big Wind Directions blown by Big Hands.

Donovan Norfolk Ang

Kuala Lumpur Composite Index KLCI: 1 November 2013, Friday, 10.10am Singapore Time

Kuala Lumpur Composite Index KLCI: 1 November 2013, Friday, 10.10am Singapore Time

Chart Courtesy of Bloomberg

Attached above is the Super Cycle Secular Trend Analysis of Malaysian Kuala Lumpur Composite Index, KLCI.

Based on the Technical Structure, Malaysia as well as the whole of ASEAN, will be on a "Golden Era of Expansion", on track for an era of unprecedented development. The Super Cycle Channel (YELLOW CHANNEL) has been formed by the peak of June 1981, bottom of 1986-1987, peak of January 1994, bottom of September 1998, peak of 2007-2008 and bottom of October 2008. The movement is steep, denoting that the rate of development in Malaysia, as well as of ASEAN, is rapid and significant.

Economically, the economic pact of ASEAN (Association of South-East Asian Nations) will make a significant impact to the Asian economy as well as help in the world economy. This means that Laos, Cambodia, Vietnam, Myanmar, Thailand, Malaysia, Singapore, Philippines, Brunei and Indonesia will carry on to outperform provided political stability carries on. Equities Market and Property Market of these economies will outperform significantly during this golden era.

Currently the KLCI is at a critical resistance indicated by the YELLOW CIRCLE at the Middle Channel (refer to above chart). As the YELLOW CIRCLE area is not grossly overbought, in the coming few years KLCI potentially has more upside. The upside in Malaysian financial markets will be spectacular and unbelievable. 

What the KLCI needs to do now is to break up the Middle Channel BEIGE LINE as a resistance, rally up convincingly, undergo a heavy correction back to the BEIGE LINE as a nasty shake-out, and make this BEIGE LINE as a support within the next 5-10 years.

This step of conquering the BEIGE LINE is expected to be successful based on the successful backtest of 2007-2008 peak as a support of the operation. Current structure is supporting the operation and implies that Malaysian economy has the fundamentals for more growth, development and progress, although many Malaysians may feel a sense of disagreement. Markets climb over all walls of worries, and if more market participants disagree, the more it will happen.

As current financial market standing of Malaysia is not grossly overbought, and there is no sign of a peak as indicated in the chart above (refer to ALL YELLOW CIRCLES), then contrary to popular belief in Malaysia that their markets are peakish, Malaysia will flex up an even more powerful rally to everyone's disbelief. This is what is supposed to happen: the least one expects it, the better it is for the markets. 

Based on the overall Technical Structure above, the Super Cycle Secular Upmove since the 1970s is extremely healthy and as of current standing still not speculative yet. If it rises exponentially, it will mark the end of the cyclical upmove for the cyclical correction within the secular uptrend. Properties in South East Asia and Malaysia are still expected to continually rise within the next few years and within the next 1-2 decades, though not one straight line up, based on projection of current structure. There is still no Greed yet.

One must be blind to be missing out a Golden Era of ASEAN (South-East Asia) Secular Growth.

One can ride this growth long term with investments in ASEAN Stocks, Indices and Properties. If such are not readily available to you, then the last alternative may perhaps be ASEAN ETFs listed in US Markets:

ASEAN MARKETS:

Malaysia iShares ETF listed in NYSE, Code: EWM

iShares MSCI Thailand Investable Market Index Fund listed in NYSE, Code: THD

Market Vectors Vietnam ETF listed in NYSE, Code: VNM

Singapore iShares ETF listed in NYSE, Code: EWS

iShares MSCI Philippines Investable Market Index Fund listed in NYSE, Code: EPHE

Market Vectors Indonesia Index listed in NYSE, Code: IDX

iShares MSCI Indonesia Investable Market Index Fund listed in NYSE, Code: EIDO

Note 1: 

The above are investment ideas. No exact entry has been analysed for the above as it is an investment idea for riding the ASEAN Development big wave up, and these are for longer term investment purposes. There could also be some slight time decay on ETF value as ETFs may sometimes have slight management fees taken away from the prices. The main point of the analysis is to give an economic over-view of Malaysia as well as a glimpse into ASEAN.

Note 2:
This may mean ASEAN currencies will be expected to remain in strong uptrend, contrary to popular beliefs. Expect continual strength in Malaysian Ringgit, Thai Baht, Vietnamese Dong, Filipino Peso, Indonesian Rupiah and Singapore Dollar in the coming many years.

Side-Note: 
If rating agencies really want to downgrade any ASEAN economy to cause maximum damage, they would not be doing in high profile. The more high profile, the more fake it is, meaning they more they want to buy from you. What you see is not what you get, and what you get is not what you see. That is the magic of financial markets.

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Donovan Norfolk Ang

Market Forecast Update: 1 November 2013, Friday, 8.41am Singapore Time

Market Forecast Update: 1 November 2013, Friday, 8.41am Singapore Time:

The past few months, I have had quite a handful of people or organisations who wanted to advertise themselves or publicize their products and platforms through my site.

I rejected each and every single one of them despite any monetary offer to me.

Donovan Norfolk Ang