9:17 am - FKLI reacting to the DJIA and political situation in Parliment today !

If FKLI can go higher than 1146.5, I assume the uptrend is halted by selling at this area.

9;17 am - Stocks end lower amid worries on Fannie, Freddie

NEW YORK (AP) - Wall Street's angst over the ongoing fallout from the creditcrisis made for a turbulent end to a volatile week Friday -- stocks tumbled,soared and then turned south again as investors tried to assess the dangersfaced by the country's biggest mortgage financiers, Fannie Mae and Freddie Mac. The Dow Jones industrial average, which traded down more than 250 points inthe session, briefly moved into positive territory Friday before ending downmore than 125 points. The blue chips also traded below 11,000 for the first timein two years. And all the major indexes ended with another losing week. A new high for oil prices above $147 a barrel also weighed on stocks. The fate of the government-chartered companies was a focus of trading Fridayas it had been earlier in the week. Shares of Fannie Mae and Freddie Mac fellsharply over several sessions on concerns about their stability. Wall Street isworried that a collapse of the two financiers would cause further shock to thefinancial system, and trigger more losses to banks and brokerages withsignificant holdings of mortgage-backed securities. The well-being of Fannie Mae and Freddie Mac is crucial because they hold orguarantee about $5 trillion worth of mortgages, or about half the outstandingmortgages in the United States. Their troubles are just the latest depressingturn in a year-old credit crisis that shows no sign of ending, disappointingsome stock traders who thought just months ago that the worst was perhaps over. Stocks fluctuated late in the session amid varying reports that the FederalReserve could aid Freddie Mac and Fannie Mae. Sen. Christopher Dodd, D-Conn., the Senate Banking Committee chairman,raised the prospect that the companies could be given access to emergencyFederal Reserve lending. Dodd, who spoke Friday to Fed Chairman Ben Bernanke andTreasury Secretary Henry Paulson, said the two are "looking at various options"for propping up the firms if they ultimately need help. Those include givingthem access to the Fed's emergency lending "discount window," Dodd said. But a Fed spokeswoman said later the central bank had not talked with Fannieand Freddie about the emergency lending program. She declined to discuss anyother options being considered. Earlier this year, the Federal Reserve took the unprecedented step ofoffering direct loans to investment banks from its discount window. Some observers noted that Freddie Mac and Fannie Mae weren't short of cash,but of access to capital. "The issue is who is going to make good on the long-term debt, not who isgoing to provide them with short-term cash," said Jerry Webman, chief economistat Oppenheimer Funds Inc. in New York. "It started with housing but it's now turning into this issue ofavailability of capital," he said of the overall problems in the financialsector. The concerns left the Dow down 128.48, or 1.14 percent, to end at 11,100.54after having fallen to 10,977.68. It last traded below 11,000 on July 25, 2006. Broader stock indicators also logged declines. The Standard & Poor's 500index fell 13.90, or 1.11 percent, to 1,239.49, and the Nasdaq composite indexfell 18.77, or 0.83 percent, to 2,239.08. Friday's drop meant Wall Street moved squarely into a bear market, which isdefined as a 20 percent drop from a recent peak. The Dow is down 21.6 percentfrom the record closing high of 14,164.53 it reached in October. The S&P 500 isdown 20.8 percent and the Nasdaq is off 21.7 percent. For the week, the Dow fell 1.67 percent, the S&P 500 lost 1.85 percnet andthe Nasdaq declined 0.28 percent. It was the fourth straight weekly decline forthe Dow and the sixth consecutive weekly decline for the S&P 500 and the Nasdaq. The market's other trouble spot, oil, continued its ascent, rising to atrading record of $147.27 amid tensions between the West and Iran. Light, sweetcrude for August delivery settled up $3.43 at $145.08, slightly below a recordclose of $145.29 a barrel set more than a week earlier. Bond prices fell sharply as investors worried a bailout of Fannie Mae andFreddie Mac could dent the government's credit rating. Ordinarily, bonds areseen as a safe haven during stock market pullbacks. The yield on the benchmark10-year Treasury note, which moves opposite its price, rose to 3.96 percent from3.80 percent late Thursday. The dollar was mixed against other major currencies,while gold prices rose. Worries about financials dominated trading. Freddie Mac fell 25 cents, or3.1 percent, at $7.75, after trading as low as $3.89 in the session. Fannie Maetumbled $2.95, or 22 percent, to $10.25 after trading as low as $6.68. Lehman Brothers Holdings Inc. fell $2.87, or 16.6 percent, to $14.43 astraders fretted that the No. 4 investment bank will succumb to soured debt. Citigroup Inc., also struggling with the consequences of failed mortgages,announced it will sell its German retail banking operation to France's CreditMutuel for $7.7 billion. Global banks and brokerages have scrambled to sellassets and raise capital in an effort to offset nearly $300 billion ofwrite-downs linked to the credit crisis. Citi slipped 9 cents to $16.19. Investors remain cautious about the entire financial sector, especiallyahead of second-quarter reports due next week from major names like JPMorganChase & Co. and Merrill Lynch & Co. JPMorgan declined $1.35, or 3.9 percent, to$33.16 and Merrill fell $1.10, or 3.8 percent, to $27.61. "I'm almost not worried about what they report," said Bill Stone, chiefinvestment strategist for PNC Wealth Management, referring to Wall Street'salready low expectations for the companies. "How much can they punish thesethings?" Friday's confluence of negative news offset a mostly positive quarterlyreport from General Electric Co. The industrial and financial conglomeratereported second-quarter profits that met analysts' expectations. The companysaid the forecast across its business lines was mixed. The stock rose 2 cents to$27.66. In economic news, the United States' trade deficit narrowed in May asexports -- including industrial supplies and consumer goods -- climbed toall-time highs. The Commerce Department said growing exports drove the trade gapdown to $58.8 billion, a 1.2 percent decrease from April and the best showingsince March. The good news did little to buoy investors' moods. "I don't know if it can get much worse," Stone said of investor sentiment."Usually you get this horrible sentiment and you're due for at least a bounceout of it." Beyond earnings reports, economic figures are due next week on inflation,retail sales and the housing market. Declining issues outnumbered advancers in Friday's session by about 2 to 1on the New York Stock Exchange, where consolidated volume came to a heavy 6.57billion shares compared with 5.71 billion shares traded Thursday. The Russell 2000 index of smaller companies rose 4.51, or 0.67 percent, to674.95. Overseas, Japan's Nikkei stock average fell 0.21 percent. Britain's FTSE 100fell 2.69 percent, Germany's DAX index declined 2.41 percent, and France'sCAC-40 fell 3.09 percent. The Dow Jones industrial average ended the week down 188.00, or 1.67percent, at 11,100.54. The Standard & Poor's 500 index finished down 23.41, or1.85 percent, at 1,239.49. The Nasdaq composite index ended the week down 6.30,or 0.28 percent, at 2,239.08. The Russell 2000 index finished the week up 9.17, or 1.38 percent, at674.95. The Dow Jones Wilshire 5000 Composite Index -- a free-float weighted indexthat measures 5,000 U.S. based companies -- ended Friday at 12,635.43, down180.04 points, or 1.40 percent, for the week. A year ago, the index was at15,382.73.

6:01 am - Trading Pivot for 14 Jul 2008

For FKLI

For FCPO

5:47 pm - FKLI is indeed bullish with a saucer shape.

12:42 pm - FKLI broke higher to try to reach 1140

Gone long for some of the clients !

9:04 pm - DJIA is at major support here at 11,170

Look at the monthly chart of DJIA. The last time it was here for 3-4 mths in 2006, so I expect DJIA to stay and congest for a while.

8:59 am - FKLI gap up on strength of DJIA ???

But can it last ! What is obvious is the most dangerous ! Long at this level is dangerous .

5:46 pm - Trading Pivot for 11 Jul 2008

For FKLI

For FCPO

5:16 pm - FKLI has formed a breakout at 1125.0

This is deemed as bullish for tomorrow.

If DJIA closed well tonite, FKLI is deemed to break higher.

Here is the weekly chart. We can go long tomorrow or short higher, either way !

3:44 pm - FKLI & FCPO statistics

FKLI Market Demography for June 2008

Category May08 Jun08 Change
-------- ----- ----- -------
Foreign institution 49% 46% - 6.12%
Domestic institution 1% 1% unch
Foreign retail 0% 0% unch
Domestic retail 37% 38% + 2.70%
Locals 13% 15% +15.38%
Proprietary 0% 0% unch

----------------------------------------------------- (# of contracts)
Total Volume 185,737 230,997 +24.37%
Average daily volume 9,287 11,000 +18.45%
Month end open interest 32,051 35,089 + 9.48%


FCPO Market Demography for June 2008
Category May08 Jun08 Change
-------- ----- ----- -------
Foreign institution 23% 22% - 4.35%
Domestic institution 11% 15% +36.36%
Foreign retail 1% 1% unch
Domestic retail 35% 35% unch
Locals 30% 27% -10.00%
Proprietary 0% 0% unch
----------------------------------------------------- (# of contracts)
Total Volume 147,798 198,086 +34.02%
Average daily volume 7,390 9,433 +27.65%
Month end open interest 39,534 44,053 +11.43%

2:50 pm - FKLI break out to 1224 and then selldown !

Wow ! the FKLI is so difficult to trade.

The market resistance is at 1122/1118.

9:21 am - DJIA is turning bearish now with a bearish engulfing pattern !

I wud like to see if there is follow thru to break further down. The major resistance @ 11,170 was broken easily.

9:13 am - FKLI gaps down but supported well at 1101/1103

DJIA took a big hit last nite and cause the gap ! I was right, one day up and one day down.

5:16 pm - Trading Pivot for 10 Jul 2008

For FKLI

For FCPO

4:50 pm : Looking at the FKLI daily chart

This is a key reversal point but to confirm we need to wait for FKLI to close 1121 and above tomorrow.

4:06 pm - A seesaw day as seen from an intraday !

Morning:- up, before lunch:- down, after lunch:- up & just before closing :- down ???

It is tough to trade this market now !

2:53 pm - Crude oil and gold are well supported at this level !

Crude oil is well supported at USD 130-135 and gold ranges between the band 870 & 940.

Looking at USD-Aud, Australia dollars is strengthening against US Dollar

12:25 pm - Man Hedge Fund Briefing in Hilton tonite !

Dear Colleagues/ Traders Club members,

Due to an overwealming response beyond our expectations we are over booked at the Hilton for tomorrows Man Investment presentation. A list of over 50 potential attendees was misplaced and the organizer did not know of these so we overbooked by 50. The hall only holds 200 so the 50 who booked may not have a place in the hall.

I apoligize for any inconvenience and to solve the overbooking proble we will repeat the same presentation at the Phillip office on Saturday 19 July at 10 AM. This will be a much smaller group and at least you will be able to see the slides and hear the speakers . (This 19 July presentation is private and only for our Traders Club members and friends)

Agenda will include the outlook for the Aussie dollar and why Man is the right inflation conquering investment vehicle in the current market turbulance. Andy Lim head of Phillip Wealth Management will be there to support the event.

Let me know if this date is more convenient for you. Appreciate if you could reply as soon as possible.

As the Man Eclipse fund closes on the last week of July, you still have a chance to get a seat on the train before it leaves the station.

Have a good day
Bill

012 685 1207

10:50 am - FKLI breakout to 1110.

It looks like yesterday wash down was a spring pattern - decided to trick ppl to go short !

There were no follow thru for the downside. Keep the trade for the intraday !

9:29 am - After short covering, FKLI fell flat back !

9:06 am - Wow ! What a volatile closing yesterday and opening today !

FKLI gap up due to 162 pts up by DJIA. Let's see how FKLI will fare today !

5:58 pm - Trading Pivot for 9 Jul 2008

For FKLI

For FCPO

5:15 pm - FKLI closed lower - anticipating DJIA to fall tonite !

let's see if this is true for DJIA.

Currently, DJIA futures down -92 pts.

3:34 pm - FKLI is selling down !

DJIA futures is -93 down. FKLI has broken thru. Institutions sell futures first and then sell cash tomorrow.

Cross down signal for SHORT is on ! Short !

12:25 pm - FKLI break down 1100 for the 1st time.

Last low was 1104. FKLI is selling down in parallel with regional markets. FKLI is trading at discount -30 pts.

9:27 am - DJIA is also set to rangebound at support level @ 11,170

This is a major support for DJIA.

9:11 am - FKLI is rangebound due to DJIA indecision & moving sideway !

Try to long at the support @ 1104 and sell at the resistance 1120.

6:02 pm - Trading Pivot for 8 Jul 2008

For FKLI

For FCPO

3:31 pm - FKLI turning bullish again !

Let's see if it wud continue after Hang Seng Market is closed. HS is currently very bullish .

8:56 am - FKLI is ready to cross up for LONG !

However, there is a lot of bad news and uncertainties in the market.

10:34 am - Wednesday investment talk

Dear Traders,

Below is the details of the Wednesday investment talk which I invited you.

We will be organising an exclusive International Investment Talk on 9th July 2008 for your clients and prospects. Mr Sam Gibson will share with us how alternative investment can help to enhance your total portfolio, while our CIO, Mr Ang Kok Heng, and our strategist Ms Crystal Teh will share about the Australian currency and economy and the analysis of Man Investment funds. Details of the talk are as below:

Date : 9th July 2008 (Wednesday)
Time : 7.00pm - 9.30pm
Venue : Kristal Ballroom 2,
1st Floor East Wing, Hilton Petaling Jaya Hotel
No 2 Jalan Barat,
46200 Petaling Jaya. (See map attached)

7.00 pm Registration

7.30 pm Alternative Investment Opportunities Through Man Investment
by Mr Sam Gibson of MAN Investment

8.15 pm BREAK*

8.30 pm No Qualms on Aussie $ !
by Mr Ang Kok Heng, Chief Investment Officer of Phillip Capital Management Sdn Bhd

9.10 pm MAN Weathers Through The Storms
by Ms Crystal Teh, Strategist of Phillip Capital Management Sdn Bhd

9.45 pm Question and Answer Session

*Refreshments will be provided.

Please RSVP with Azimah at 03-2711 3038 or reply this email to register as only limited seats are available. This seminar is free of charge.

You may amend the invitation attached below before sending to your clients.

Thank you.


Warm Regards,

Julie

016 651 9512

12:52 noon - The FKLI cannot go down due to the new news from our political situation

I was expect the selldown until there was a change in SD. Check your malaysiakini.com

That is really stupid as the market is increasingly becoming uncertain and the traders wud stay away from this kind of market.

11:38 am - Here is a weekly chart for FKLI

We may test 2007 low at 1045.5 ! That when I put my profit target at 1046 for my short trade.

9:52 am - Light crude oil has a 18 L/C and up, up she goes !

It looks like it is going to hit USD 150 soon !

9:32 am - FKLI looks like it wants to go up !

But it cannot ! Maybe we see a sideway movement today for FKLI !

9:02 am - DJIA is very resilient at this point.

DJIA traded half day yesterday, so the volume is low. Tonite US is a public holiday - Independence Day.

8:56 am - FKLI did not sell down this morning despite the political uncertainty

It is forming a bullish saucer in the short term now ! Let's wait.

5:21 pm - Trading Pivot for 4 Jul 2008

For FKLI

For FCPO

5:17 pm - Brace yourself for tomorrow !

When KLSE reopen back , you will see firework !

3:57 pm - I have a funny feelings that KLSE may be close tomorrow !

This is due to the unfavourable political outlook ! Market is bearing down !

3:46 pm - KLSE is closed for the day !

Look at your malaysiakini.com for news !

3:29 pm - Sell ! Sell ! Sell !

Bursa Malaysia is closed for the day ! The FKLI market is reacting to this by selldown !

9:17 am - DJIA cannot break down below 11,170

It is still hovering above this support 11,170 and the volume is low.

9:07 am - FKLI gap down due to -166 pts down !

Remember, strength comes from down bar.