Agreed. This rally appears to be too sharp an advance in too short a time - seems to be a product of shortcovering positions by institutions rather than committed buying plus retail fervour.

Dow is likely to test 11700 - but there is some serious resistance at 11704-11708. The downside potential for tonight is 11406 (11500 will offer interim support though).

Oil price movement will influence markets a bit - but beware of any unusual resurgence.  

I agree totally with elf.

Low volume markets are highly speculative and unstable. 

elfinchilde      ( Date: 23-Jul-2008 16:47) Posted: supremeA, as per private msg. careful of volume tho. cos when rallies occur on small volume, means you have to move twice as fast (considering 2 bil as ave vol). to give an analogy: imagine if you're asked to catch 10 fishies from a pool of 500. and now the pool is reduced, 250 fishies. you still need to catch 10. which is easier.

Dear Ak_Francis,

I beg to differ........ It is a true fact!

Dear Aleoleo,

When market is up, why should you from time to time full of suspicion.... is it a trap? Several times in the past yes, this time could be different in the environment of crude oil price hike has come to an end (could be in long term downward trend), inflation fading, equity market valuation at comfortable and affordable very very low level, short selling activities diminish substantially, also a good indication of privatisation is more and more on the card as if becoming a trend recently (Due to its listed companies price all at artificially depressed very low price level of every individual listed company, as such it is no longer feasible in SGX listing to maintain for). I strongly believe that TURN AROUND of global equity market is just commencing!!!(CAVEAT EMPTOR)