Dow dropped 299 points (-1.16%)

There is great possibility that Dow has ended its wave B rebound and wave C has started. Hopefully it will stop around 22,600 level for a 15% major wave 8 correction. And hopefully major wave 9 won't play the missing game and will be there waiting for us.

Kuchai Development Bhd (Rm 2.74) - Jumped 42 sens (+18%)

After Kuchai has completed its sub-wave v in early January, I was expecting a higher degree wave (ii) consolidation that can last about 6 months. But Kuchai started to surge today after only about 6 weeks of consolidation whereby making the last pullback a lower degree sub-wave vi. Today is the starting of its sub-wave vii.

Since Kluang is holding about 45% or 55 million shares of Kuchai, it share price also moved up in tandem with Kuchai. It gained 20 sens (+4.6%) to close at Rm 4.50 today. Very likely Kluang has started its sub-wave v.

Similarly, Sg. Bagan has also moved up strongly today. It gained 30 sens or 8.8% to close at Rm 3.70. Same as Kluang, it is forming its sub-wave v too.

What is the latest news on Great Eastern Life Assurance (M) Bhd with regard to Bank Negara's ruling of 30% local equity participation by 30 June 2018? I have heard nothing so far.

.

Dow - Current rebound is about to end

Dow (25,309)

If my reading is correct, Dow is about to complete its wave B rebound. Watch out for the wave C's plunge.

FBMKLCI (1,861)

If KLCI is unable to break 1870, it is going to drop to 1,600 level to complete its wave C.

.

The 9 Flying Stars - Part 1

Looking at the flying star chart, some may start to wonder how was this 'Flying Star Feng Shui' started? Which are the stars in the universe are these 9 stars?

These 9 stars were first mentioned in ancient records of Han Dynasty (206 BC to 220 AD) as 'Northern Dipper Stars' 北斗星. In western astrology, the 'Big Dipper'.

In fact the ancient palace appointed special officers to observe and to monitor the movement of the big dipper to forecast impending big events that could affect the future of the kingdom.

The stars that formed the Big Dipper are the seven brightest stars in the constellation of Ursa Major.

As a result of the Earth's rotation around the Sun, the Big Dippers to rotate slowly counterclockwise at night around the north celestial pole as indicated by the North Star. The alignment of Merak and Dubhe formed a straight line with Polaris, the North Star.

The ancient Chinese Astronomers used the movement of the Big Dipper as well as the sun to refine the annual calendar, seasonal changes, agriculture activities and dates for ritual ceremony.

Through years of comparison the observed changes in the brightness as well as colour of each individual stars with the good and bad events actually took place within the kingdom, the stars were classified into good and bad stars.

To the Chinese ancient astronomers, the 'North Dipper Star' 北斗星 has seven visible stars and 2 so called 'invisible' stars or 'now you see it, now you don't' types of stars. The name and other data about the nine stars are as shown in the following table.

For the two 'invisible' stars, the star No. 8 左辅 is Alcor, a binary star of Mizar and can be clearly seen with a telescope. But star No. 9 右弼, the available literature pointed to two possible locations. It is either located next to Phecda (No. 3) or located next to Alkaid (No. 7), but unable to relate it to any known star.

(To be continued)
.

Dow - Major wave 8 correction (-15%)

Dow (25,219)

Dow is forming the wave B of its major wave 8 unless Dow can keep on going up for new record high, then the 23,860 low on Feb 8 is the wave (iv) and not wave A.

FBMKLCI (1,838)

KLCI is forming the wave C of its mega wave (6).

I don't expect the general market to be good as the General Election 14 is around the corner and it is of great uncertainty who is going to win the election.

.

Year of the Earth Dog 戊戌狗年

Looking at the CLSA Feng Shui Index for 2018, if it does apply to Bursa Malaysia, we will need to wait until July for the market to go up.

.

Dow jumped 410 points (+1.7%) to 24,601

If Dow can move above its last Tuesday's high of 24,912, the current run-up is likely to be the wave B of its major wave 8.

But if Dow starts to go lower again from here, then Dow is forming 7 waves for its major wave 8.

.

Weekly Update

Dow(24,190)

Very likely Dow is heading for 22,600 to complete its major wave 8, the 15% correction.

FBMKLCI (1,819)

I have adjusted my wave count for KLCI as shown below because if Dow is heading for a major correction, KLCI should move down in tandem with Dow, it is more likely that wave C is in progress.

EG Industries Bhd (Rm0.515)

EG's share price plunged close to 20% in the last 6 trading sessions with a long  wave iii of C. Possible support is at the 43.5 sens level, the low of wave A and C of the major wave 4.

Looking at its 20-year chart, I noticed that the mega wave (2) is possibly forming an 'inverted head ans shoulders' pattern. If it finally turns out to be this pattern, then this is a bullish long term chart. Its mega wave (3) might take 4 to 5 years to complete with minimum target at Rm 2.60.

Aemulus Holdings Bhd (Rm 0.53)

With Dow dropping more than 1000 points twice within a week and with KLCI plunged in tandem, many stocks have gone below their respective lower support level, EG is one of them and Aemulus is another one with a long wave c. Possible support is at 45 sens level, another 15% to go. I am expecting a wave iv rebound before the final drop.

.

Dow - Another 1,032 points

Dow dropped another 1,032 points (-4.15%) on Thursday. With this we can forget about wave (iv) and hope that it will stop at 22,600 level for a 15% major wave 8 correction. Intraday panic selling may see Dow goes a few 100s points below 22,600.

Pray hard that this is a major wave 8 correction and major wave 9 is not missing. Keep your fingers crossed.

At this moment Nakkei has dropped about 700 points (-3%)

And S&P/ASX 200 has dropped about 85 points (-1.4%)

.

CLSA Feng Shui Index 2018

Li Chun立春marks the starting of the 'Dog' year as well as the CLSA Feng Sui Index 2018.

It says that stock market won't be good until July. But after July bull is expected to take control.

Let's look at the CLSA Feng Shui Index 2017 with respect to the performance of the Hang Seng Index in 2017.

Going for a month-by-month comparison, it is 50% correct.

.

When Uncle Sam sneezes, the whole world catches cold.

When Dow dropped another 1175 points (-4.6%) on Monday after its 665 points (-2.5%) drop on Friday, Major Asian and European markets dropped in tandem on Tuesday.

At this moment all Asian markets have closed while the European markets are not yet close.

Dow (24,345)

As I have mentioned previously, very likely Dow has ended its major wave 7 and is having its major wave 8 correction.

From its peak of 26,616, Dow has dropped 2,271 points or -8.5%, half way through the correction, wave A is about there. Next rebound can be the wave B.

By now I can eliminate the sub wave vi's option that I mentioned previously but I still cannot eliminate the wave (vi)'s option especially if Dow can have a 'V-reversal' and can continue to run higher with more record new highs.

One thing is for sure, this is not a market collapse and the assets bubble is not going to burst at this moment. The worst that can happen is a 15% correction and we have already half way through. More optimistic is a wave (vi) correction that is almost completed.

This is just a healthy correction but do remember anything can happen in the stock market and I can be wrong too. This is only my current opinion based on the current data that I have.

Li Chun 立春 - Starting of the Earth Dog

Li Chun 立春, literally means the beginning of spring, falls on February 4. It also marks the beginning of the 'Earth Dog' year.

The new locations for the Flying Stars for the 'Earth Dog' is as shown.

The worst sector is the 'North', where we have '5 yellow' plus '3 killing'. It is best not to disturb or activate this sector if you are a strong believer of 'Feng Shui'. No renovation, no construction, no home hifi or home theater on this sector. Another sector not to be disturbed is the North-West where the Grand Duke or Tai Sui is sitting.

Best sector for businessman is at the South-East and for young man is the South and South-West. For the elderly, try not to have your bed on the West or North sector of your house.

.

Weekly Update

Dow (25,520)

Dow dropped 1096 points (-4%) within a week and with a gap on Tuesday. Is that the 'exhaust gap'? As I have mentioned previously, very likely the turning point is the end of its major wave 7.

And of course there are other possibility that I cannot rule out. The current pullback can also be a sub-wave vi correction.

Or a wave (vi) correction.

FBMKLCI (1,870)

KLCI is about to complete its mini wave 9. The main question is whether this is the end of sub-wave iii or wave (iii).

EG Industries Bhd (Rm 0.615)

Once EG dropped below the 66 sens level, I have to revise my previous wave count. The only logical count that I can come up with is a 1-2-3-4-5 wave count with the peak as mega wave (1). But it is really hard to accept the fact that the duration of major wave 4 is so much shorter than that of major wave 2.

Inari Amertron Bhd (Rm 3.17)

Inari has ended its wave (vii). The current correction is the wave (viii). Hopefully wave (ix), the last wave is not missing.

.