Bullish SiMSCI

The SiMSCI Singapore Free Index has been moving up over the past few days after a plunge to 237.1 level on 9 Dec 2004. This morning it broke the previous high of 246.7 on 3 Dec 2004.



Is this "window dressing" for book closing?

Today, SiMSCI opened at 246.9, went up to 248.0 and closed at 245.7. Looking at the candlestick, one would suspect that the bull may be losing steam. If the support at around 245.0 holds for the next 2 days then the uptrend may continue otherwise the next suport is around 242.8. This will be a good entry point for a long position.

SGX announces increase in e-Nikkei 225 Futures on SGX QUEST

The volume of the SGX Nikkei 225 【日经指数】 contracts traded electronically during the regular Japan stock market trading hours on 1 November was 2,778. On 8 December, the corresponding volume set a new record high of 29,488 contracts. The average daily electronic trading volume of Nikkei 225 contracts from 1 November to 8 December during the regular Japan stock market trading hours is 12,071 contracts.

The electronic trading volume of Nikkei 225 Futures and Options now regularly exceeds 50% of the total SGX Nikkei trading volume in the last two weeks.

SGX spokeman said, "We are encouraged by the response on SGX Nikkei 225 contracts. With the availability of the SGX Nikkei contracts on the electronic trading platform during the regular Japan stock market trading hours, we hope to reach out to those who trade derivatives products electronically and expand the usage of SGX Nikkei contracts as an effective trading and risk management instrument among global traders and investors. We are confident that with the robustness of our new trading engine and the various initiatives, the Electronic Nikkei 225 contracts will continue to grow strongly."

Notes:
Electronic Trading Hours for Nikkei 225 Futures and Options
The Nikkei contract is available for trading on the SGX QUEST from 7.45 am to 10.15 am and 11.15 am to 2.30 pm Singapore time. It will therefore open 10 minutes earlier and close five minutes later than the open outcry market.

SGX QUEST
SGX QUEST is the world's first integrated trading engine for the exchange's securities and derivatives market. It is a new trading platform that supports a host of new products on an electronic platform and sophisticated trading strategies. SGX QUEST offers SGX a platform for global connectivity and a broader reach to market intermediaries and investors. SGX's progress towards introducing a wider range of electronic-based derivatives products was enhanced with the launch of SGX QUEST in its derivatives market on 16 August 2004.

My thoughts on SiMSCI and Nikkei 225

I was quite surprise to see this blog being ranked in the first page of Yahoo search for keyword "index futures trading". And then this thought came to mind - why not start writing my thoughts of SiMSCI and Nikkei 225?

To start with I will do a weekly updates on these 2 markets. Instead of daytrading, I will position trade using both technical analysisand fundamental analysis. I am not a technical person and use simple candlestick charting and fibonacci levels. Price action and momentum are things that I am familiar. As for fundamentals, I monitor the economic indicators and following USA and Japan economies closely.

To make it interesting, I will allocate US$20,000 as my trading capital and I will post both my good and bad trades here.