Many people started to worry, except the property speculators.

Yesterday, the Minister for National Development, Mah Bow Tan, acted to to cool the Singapore property market and crack down on excessive property speculation.

The STI reacted and fell.

“Garmen like dat do sure stock market double-dip lah!”

The Double-Dip Came and Gone

The reality is… we’ve already seen the double-dip in STI with the past 12 months.

I talked about the double-bottom shape in my earlier article on Time to Get Back into Action last April.

So… what’s next?

Start of Bull Run 2011

The market is apparently confused.

Usually, that marks the start of a change in trend.

We were in the BEARl market for nearly 2 years. The Singapore stock market has hit the bottom early this year. It is unlikely that we will see that low again before breaking new high.

Yes.

I think the BULL market has started. However, we are in the early phase of the bull, so you want buy with caution and focus on value stock. Then, ride it all the way near the top.

Property, finance, tech shares, I will definitely look at these.

Btw, here’s a piece of crap which you should ignore…

Asian tech stocks will follow suit and you may want to add more tech counters into your portfolio.

For Singapore market, you may want to start monitoring Venture and other blue-chip tech counters.

It was all over Money section of the local newspaper… small caps are rallying. The FTSE ST Small Caps Index surged 18.4% since 8 April 2009. And yesterday was the busiest day of the year for Singapore stock market with 3.79 billion shares worth $1.35 billion changing hands.

Penny Stocks Trading Volume Churned by House Dealers

With so many house dealers working in tendem, it was no wonder that many of the penny stocks traded in record volume.

More volume means more brokerage fees.

With discussion abuzz in the local stock trading forum, it is not too difficult to suck in all those “retail investors” looking for a quick profit.

I always thought that penny stocks are easier to manipulate and retailer investors went in more like punters in a casino than caution investors.

Time to take profit for penny stocks, don’t be caught when the houses start to sell down.

I think many of the index linked stocks are over bought and technical correction is imminent. So, it’s better to wait for the correction before buying more. Go take a long weekend!

Double Bottom Pattern

The double bottom is a major reversal pattern that forms after an extended downtrend. The pattern is made up of two consecutive troughs that are roughly equal, with a moderate peak in-between.

Source: Stockchart.com