The news start to sink in finally

Think i should eat back the words that i posted in my last post. The STI level of 3562 only held as support for 3 days before it plunged below that level with increasing volume. It will good to see whether it will rebound or will it plunge further. Ever since this secondary trend was started, bearish divergence has been spotted on the technical indicators that i have chosen. Well i did observe 2 things and that is firstly, price action always comes before news. Saw this on decipher's blog as he observed how property counters ain't moving recently despite STI goes into unchartered waters. I experienced this 1st hand with the construction sector not that long ago when the stocks in this sector started to rally before the release of any fundamental news and i tot that was strange enough already. Must type this again and that is price action always comes before news :)

A rising tide lifts all boats and the opposite is true too. With the indices not heading north, it will always be prudent not to get vested in any counters no matter how good a counter looks technically by itself and be ready to offload to protect profits and cut losses when a correction is in place.