After the president election in America, due to the unexpected victory of Donald Trump in the election, it is expected that there will be a huge fall in stock market. Ironically, the America and stock market runs contrarily and reaches historical high.
It is a very interesting phenomenon that surprising news appears very frequently nowadays and media control, in my opinion, is the root making everyone shocked. Normally, people receive information by social media and television and they will make decision based on what they get in front of screens. In other words, if an organization is powerful enough to control the media, it can spread what they want people to receive and insert that thought into their mind. If the through, which is deeply into residents' mind, is actually incorrect, an unexpected outcome will appear and it can result in huge impact in financial market, which is a perfect timing to earn a lot of money.
This story tells me that do not be distracted easily and trust personal judgement only based on the fact but not opinion.
Then let talk about the stock market. From the past several weeks, stock market in America, China and Japan rose a lot, whereas Hong Kong stock market still keeps its own path, which is a piece of very frustrating news for investors, such as me, focusing on Hong Kong stock market.
One of my main concerns is that the Cow-Bear Ratio keeps very high for a long time period, which arouse my curiosity that whether it is still a good signal to find out a good timing to input buy or sell order. RSI, however, keep showing its value to provide good signal for me and I appreciate it a lot.
At this moment, my Stock:money ratio is about 35:65 and I feel safe at this position. Due to the increasing trend in international stock market, I may be willing to increase the ratio to 40-45:60-55.
I am happy and stay positive in this trend and hopefully Hong Kong stock market will catch up very soon
Technical Analysis
RSI: 49.3
Dow's Index: 19152
Cow-Bear Ratio: 61:39
