Last Chance to Get Out

The Red Tide Has Come In

Unless you hold solid blue chips such as Nestle,GAB,F&N and BAT, this is the time to review your stock holdings.

Remember its is better to be sad than sorry and it will definitely be easy on your mind and heart to leave only little stock holdings on BSKL.

Sell whatever holdings you have and sit tight until you see a firm post 13 GE government in place. By then, you will have all the pick you want of good blue chips from the true blues such as BAT and Nestle to the second-echelon like  KLK, PPB, PBB,LPI to Aeon.

You can bet your last ringgit that there will be no run-up of stock prices to the Chinese New Year. It is just too late, my friend!

 If at all there is action, these are generated by snakes in the market, they are bargain hunters pawing down prices day by day.

By Wednesday 6th February, the exodus will start outstation for the new year and the following two trading days will be dull, by all counts.

After the Chinese New Year, the specter of the impending elections will drive away both foreign investors and local retail traders will scurry away like rats hiding whatever returns they can squirrel off with.

A glance across the board after the bloody slaughter of January 2013 indicates that there is nothing of a ghost of a chance for recovery at all.

The listlessness of the current market will go on into deeper melancholia when the Johore State assembly has to be dissolved by 21 March.

BSKL will become a graveyard of sorts soon.

While the Selangor State government threatens to dissolved itself after Chap Goh Mei, the DAP-led State government of Penang has decided to go the distance as they need only dissolved legally 4 days after the Federal Parliament does.

I would expect all other states to follow the cue by PM Najib.

As it will likely be a hot-breath fight to the finish for both sides with a Pyrrhic victory in store  for the winning side,the BSKL will die a slow death.

As uncertainties are expected from a loss of BN in the polls to a fragmented PR win, they will kill whatever life that is left on the bourse!

The current BN government as well as the pension funds are collecting FGV shares at the expense of other blue chips. Their efforts are fast coming to naught as the counter is slumping every day. Even EPF members has to suffer because of politics.

Best bet- leave while you have time.