We had those thread already. Just less people interested in it. Also I don't recommend to newbie (specifically not familiar with futures market) and those can't absorb the risk of it. It can be very risky game if not know how to manage it.

http://forum.lowyat.net/topic/494353/+40
http://forum.lowyat.net/topic/602533/+60

I can't get into the futures market qoutation on both investment house online website, it is another break down occurs on futures market Again?

Thanks feralee.

May be recent of few days heavy rain causing the server catching cold again.

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Added on September 8, 2008, 10:41 amToday all up kau kau, deep green around the global, (due to bailout plan of Fannie and Freddie, might be a short term event, don't overly bullish, short term wise market can up several hundred points, no problem but long term issue still remain unknown), KLSE might be the one will end in flat or red as well, by seeing the volume and trading pattern.

This post has been edited by cherroy: Sep 8 2008, 10:41 AM

Still under beta stage as Pana pointed out.

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Added on September 8, 2008, 12:50 pmHurricane is coming in fast and furious, the sea out there is rough at the moment. So becareful. Hehe.

This post has been edited by cherroy: Sep 8 2008, 12:50 PM

Captain stays in land, not on board yet. haha

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Added on September 8, 2008, 2:45 pmFinally Futures market re-open. This year don't know how many times already futures market break down, loss count already.

This post has been edited by cherroy: Sep 8 2008, 02:45 PM

Yesterday is not BNM intervention but a broad based dropping of USD due to Fannie and Freddie bailout. But USD on strength again today. I don't think current USD rebounding is due to better US economy ahead but rather a massive shift of fund around the globe due to deleveraging and unwinding of carry trade.

FYI, BNM lastest foreign currency reserves stood at 122 billion USD equivalent Rm400 billion.
Generally it is not advisable to any central banks to intervene, market will correct themselves, most of the time intervention won't have a great effect or minimal effect Except HK whom managed to fence off the hedge funds and speculators back 1997 crisis time

Malaysia has already rack up the foreign currency reserves since 1997 crisis due to constantly trade surplus.

I just want to add few point,
A weaker currency never a good sign of strong economy. A country economy strength is from both export and internal demand. In fact, internal demand is always the key of health of economy. The more export the more income of the domestic economy which eventually transform into a better domestic economy ot internal demand. If export is flourishing but internal demand is weak, then there is something wrong in between already. (That's the main problem Malaysia is facing)
In fact if a country can self sustained, then export is not an important aspect. You produce your own foods, own product, you consume within and self sustained also can be a dynamic economy (typically like US), internal economy is the one the matter the most, not its export. Export is like icing on the cake. Just extreme illustration point (I knew in current globalisation, export and trade also an important part. Economy is always about flow of money in the between.

If one country is constantly relied on weaker currency to export, it is similar for company out there that always relied on selling cheaper goods compared to other in order to drive the sales. Instead company should focus on to have better value on the product itself. Price war (weaker currency) never end and it will hurt your bottom line over the long term. You must create a value added product which people willing to buy over you compared to competitors even though price is slighly higher.
The analogy is same as buying electrical appliance. A xyz brand tv from China the sell at 1,000, a Sony TV sells at 1,200. No doubt, xyz still sellable, but the Sony TV won't lack of buyers either. So you can always relied on xyz cheapo brand to drive you sales, because to replace a xyz brand, it is easy for someone to come out another one. But to beat down Sony, then competitors will have hard time to do it.

Instead, what Malaysia needs to transform is to increase productivity and changing into high value added industry to transform into a better economy. Solely always relied on weaker currency to drive export won't be good for long term. As weaker currency means higher inflatoin, lower internal purchasing power for Malaysian.

Just my 2 cents.

This post has been edited by cherroy: Sep 9 2008, 11:27 AM

The problem US currently facing is not lack of internal demand, but lack of money to spend on it, due to credit crisis aka banks reluctantly to lend while reduce their balance sheet size.
FYI, US people has negative saving rate, while Malaysia has more than 35% saving rate. So basically different scenario, different problem to tackle.

We don't need Steve Jobs, Japan, Hk and Singapore is the leading example how you transform the economy.

I don't want to drag into political stuff, better stay within scope of finance. Just like we said political instability now, so lead to lower stock market and economy outlook. So with that poor outlook, then we make a decision on out investment target either to invest in US or other currency etc. That's all.
Don't need to comment what is wrong on political side, as this thread is always about $$.

Cheers.

Currency is unpegged but not freely trade. RM still can't be traded in overseas freely, still have some control and restriction.
BNM intervention should always keep in small scale, and not to interfere the market movement. Intervention by central banks always have in the market, to prevent speculators taking advatange or manipulation.
Just what I mentioned yesterday significant rise of RM/USD is because of global event, rather than intervention by BNM to prop up the RM.

It depends on how you look on the bailout plan. USD should fall with the plan. With the bailout, US gov needs to raise more than 200 billions and potential more to support the business of both. So more money need to be borrowed from overseas in term of T-bill or print more money. So with the basic of supply and demand it should fall.

But USD is on the way up trend for the last month or so already, due to deleveraging and unwinding carry trade around the globe. There is no coincidence, Yen rising, USD rising while emerging equities market and high yield currency being down so sharply, it means money is flowing in risk aversion side after commodities bubble delfated.

It is the other way, because stock market will react ahead of economy about 6 months to 1 years ahead aka what you see on the current what stock market is something they want to tell you that the economy situation down 6 months or more down the road.

Economy doesn't depend on stock market to grow, but stock market is depended on economy to move.

Just to share information,

Lastest IPO (Vastalux, O&G related) going to list next week, its IPO is only being subscribed 5%, 95% remaining, no taker! Underwriters need to take it all up

Underwriters become major shareholders of company.

Here we go for the 3 digit.
2 years of upside bull run now down into the drain for KLCI.

Global equities market still under pressure after Lehman report.

Norm only mah
That's why they proposed to shorten trading time.

If in office, you will see many playing games as well. May be can play some LAN games together also. Hehe.

No lah, just no transaction.

The trading is identical to normal shares, but futures contract will be expired at the end of their month. So September contract will be traded until the last day of the September then it will expire and settled which you make the differentiate of it.

September is current spot month, it will be traded until 31st September. Then expired and settled (settlement price is based on last half hours of average price based on cash market (KLCI).

Yes, trading is about making money through differentiate in price.

Then you lose 20 points.

1 point = Rm50 so you lose 1K + commission (commission is Rm25 per transaction, settlement fee = RM1)

So total loss = Rm1,026

Yes cash market is the settlement target, by using last half hour of average. There is specific FKLI thread which can google upon the details.

Long = buy first
Short = sell first

Rescue team arrived, should have temporarily support and technical rebound. Can't straight away go down 1,000 without any bounce mah.

Probably, they are supporting Sime at the moment.

AdamG1981,

I knew what you are trying to say. But this statement can give a wrong illustration to those newbie to think making money is easy which might lead them to forget the risk behind of it.

No one is perfect in the market, once stumble into it or market goes against unpredictably then it might as well Rm4000 loss as well. While working class surely can get few K in the end of the month, while for full time traders if one is not well capitalised then, one might struggle to pay the their monthly bill if market condition is not favourable to them.
It is all about $$. Without $$, it is like a gun without bullets, useless.

Most norm people out there are not good in managing the risk and highly discipline on it aka they know how to make profit but don't know how to cut loss in trading which can lead to 'deep hole'. Instead they bet more on it when market goes against them, in the hope of averaging down and 'revenge' (emotional weakness/mistake) which is a big big mistake in term of trading.

No offence, just have been involved in market for long time, and had seen many example and human mistake.

There are a handful of succesful traders in the market, but there are 12303 number of failed traders as well.

Don't mean one can't be full time or professional traders, but just to remind the risk involved and remind on especially newbie in the market to prevent them to think it is wasy to make money in the market.

Just my 2 cents.

This post has been edited by cherroy: Sep 12 2008, 11:15 AM

Just like you fried a mee goreng. You pour in mee ($$), sauce ($$), then wok fire too big until your mee ($$) become hangus instead become tasty (making profit in term of $$). So nobody want to eat now.