Monday, September 15, 2008

A Bloody Day

With all the bad news around the Layman brothers, the Merry Lin & All-In-God, STI was slaughtered like nobody's business today. It droped 84 points or 3.3% for the day. The blue chips, including banks, GLCs are all tanking.

The sentiment is so bad that even my 5.1% OCBC preference shares nose-dived below its only recent IPO value of S$100. The 4.5% OCBC preference shares must be being dumped by all the institutional investors. The price went down by a full S$2.00! You really don't want to be the one holding on to this counter. Luckily, at least it offers you a minimum of S$4.50 per share dividends every year. Those fixed income preference shares are for you to hold well into your retirement days and maybe even pass onto your offspring.

My losses in this single day went up from S$4000 plus to $5000 plus and almost reaching S$6000! My gosh, NO EYE SEE liao. Don't wanna log into my account to check that sea of red.

To add salt to my wounds, just this morning, I adjusted my exit price for my short position on SGX. I adjusted it higher. Then SGX went for a downward coaster ride, from previous close of $6.12 down to S$5.88 at market close. Anyway, my short position was triggered exit at S$5.96, still some gain, thank God it didn't trigger at S$6.01.

The 2680 point resistance level had been broken, now we are on my way to 2380 points, the next support level. Unless some positive news coming out from the states, I don't think we can reach the bottom there. Now, must build up cash positions to bottom fish.

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