S. M. A. R. T. Investing with TSK

“Trend line analysis is a little known art. It is something that takes years to train the eyes to see easily. Trend line analysis is not something easy and that is why people do not learn it. Once trained, it opens a whole new world.” Said one expert US Trader. I started learning and applying trend line analysis on Straits Times Index and key component stocks. I was amazed at how accurate it can be used to “predict” the Trading Range for the Day, the key support and resistance values/prices. It is a leading indicator, better than any other technical indicators which are mostly based on historical data and lagging. Leading Indicator? Yes, trend lines can be used to “forecast” or “predict” the “future value” of the stock or index. Also indicates if Uptrend or Rally might have ended! I use trend lines to “forecast” the Trading Range for the Next Day. It increases the probability of success in my STI put warrants trading, giving me a sure win trading method. Look at the STI Char...

Have you been trading STI Warrants? Making Money? Hmm... it is now a sure win trading game for me! I recently discovered a sure win trading method. Like Sun Tze Art of War: Know Thy Enemy, Win 100 Battles! “Pai Fa Pai Chung”! Huat Ah! What's my secret weapons? Time: Using reliable technical indicators to tell me in advance when STI will begin to decline or advance. My focus is on Put Warrants cos I know what is the likely market direction going forward. Then based on the weekly/daily forecasts, I know the likely market direction also. Knowledge: Market direction STI Trading Range for the Day Best Warrants: As you know, I like SGA warrants, now there is one trading 5-6 STI points per bid (at 0.05cents). Calculate STI value: the break point where the price will increment. Monitor regional indices which influence STI direction: HSI, SSE, Nikkei Patience: Wait for the technical indicators to give me the buy signal. Do not enter too early, enter at the righ...

What else do I need to monitor to increase my probability of success in making money trading STI warrants? Using the STI real-time charts in Nextview, I monitor the following indicators: 20MA and 50MA MACD Stochastics Parabolic Sar Barros Swing Candlesticks with commentary If you have charts for different time-frames, you will definitely be at an advantage compared to those who only use daily charts. To be continued in Part 4. Read Part 1 , Part 2

What do I need to monitor to increase my probability of success in making money trading STI warrants? Dow and Dow Futures – yesterday's closing, 4.00pm Nikkei and Nikkei Futures – before 9.00am, 11.30am, 2.00pm, 4.00pm onwards SSE – 9.30am, 2.00pm till closed Hang Seng Index and Futures – 9.30am, 10.00am, 2.00pm till close, 4.00pm onwards STI real-time streaming Why? STI is spineless, usually tracks or follows direction of these regional indices! Where to get information or real-time charts for these indices? Nikkei & Hang Seng Futures – IG markets Nikkei and SSE Live – Phillip Securities Protrader STI – Nextview Dow Futures – CNNMoney.com Why am I sharing this information? Monitoring of these information, especially STI, can also help increase your probability of success in making money in trading stocks. To be continued in Part 3. Read Part 1

Do you trade STI warrants? This is a high risk high reward instrument. Unless you have the necessary tools and techniques, it is risky to trade. It is for trading, not for investment as it's price decays overtime. Just want to share my observations trading and monitoring STI warrants: I prefer to trade STI warrants issued by SGA as I find the pricing is reliable. Other market makers might use their own method for calculating STI, so their pricing might not follow the STI value you see. Also price movements don't really track STI correctly, but not for SGA. High volumes of STI warrants traded – due to people short selling either the call or put warrants when STI moves in the reverse direction. Why? They can make money faster as 1 bid = 4-6 STI points. Whichever warrant price jumps 1 bid faster, they will short/long that warrant. They buy in 200k to 300k lots, take profit every 1-2 bids. Trade warrants which are in the money or near the money because can make money faster, as exp...