FKLI WEEKLY

FKLI

Derivatives

KLCI (FKLI) Futures

Contract Code	FKLI
Underlying Instrument	Kuala Lumpur Composite Index (KLCI)
Contract Size	KLCI multiplied by RM50
Minimum Price Fluctuation	0.5 index point valued at RM25
Daily Price Limits	20% per trading session for the respective contract months except the spot month contract. There shall be no price limits for the spot month contract. There will be no price limit for the second month contract for the final five Business Days before expiration.
Contract Months	Spot month, the next month and the next two calendar quarterly months. The calendar quarterly months are March, June, September and December.
Trading Hours	First trading session: Malaysian 8:45 a.m. to 12:45 p.m. Second trading session: Malaysian 2:30 p.m. to 5:15 p.m.
Final Trading Day	The last Business Day of the contract month.
Final Settlement	Cash Settlement based on the Final Settlement Value.
Final Settlement Value	The Final Settlement Value shall be the average value, rounded to the nearest 0.5 of an index point (values of 0.25 or 0.75 and above being rounded upwards) of the KLCI for the last half hour of trading on the Exchange on the Final Trading Day excepting the highest and lowest value.
Speculative Position Limit	10,000 contracts, net gross open position.

TRADING EDGE

The importance of the 5 fundamental truths which we must train our minds to accept:

1. Anything can happen
2. You don't need to know what is going to happen next in order to make money
3. There is a random distribution between wins and losses for any given set of variables that define an edge
4. An edge is nothing more than an indication of a higher probability of one thing happening over another
5. Every moment in the market is unique

Here are 7 principles of consistency:

1. I objectively identify my edges
2. I predefine the risk of every trade
3. I completely accept the risk or I am willing to let go of the trade
4. I act on my edges without reservation or hesitation
5. I pay myself as the market makes money available to me
6. I continually monitor my susceptibility for making errors
7. I understand the absolute necessity of these principles. I never violate them.

"Never commit yourself to anything you can't walk away from in 30 seconds."
"Hope is a dangerous thing. Hope can drive a man insane."

THE TREND IS YOUR FRIEND :
The chartis does knows there are reasons why markets go up or down. He or she just doesn't believe that knowing what those reasons are necessary in the forecasting process.

P.S : IF YOU WANT FREE TRAINING , SEND YOUR NAME TO email : futuresART@yahoo.com

Futures Academy

The only way to create the future is to be proactive!!

The starting points of futures studies

The starting points of futures studies can be crystallised in the following way:

• The future is not predictable. The only thing we can do is to build images and ideas on the events ahead of us – here we speak of many alternative futures.

• The future is not predestined. We can only consider the probability of events and things, when we think about the possibilities.

• We can affect the future with our actions and choices. Therefore It is important to know what is possible, what is probable, and what is preferable. The meaning of values and value discussions is thus unavoidable, when the alternative futures are considered.

The future cannot be directly researched. It does not exist in the present in the same ways as the present and the past. Instead, it does exist in the present as intentions, which we can study. We can also study such facts and phenomena which bear an influence on the future. Neither is the future predestined. We can research the alternative paths of development, as long as we bear in mind that the different end results have a different level of probability. Since it is possible to affect the quality of the future through single choices, it is naturally important to define, what kinds of choices lead to the best and most acceptable future state. Therefore value discussions are so important in futures studies.

FORECAST

Using Pivot Points for Predictions

Interpreting and Using Pivot Points
When calculating pivot points, the pivot point itself is the primary support/resistance. This means that the largest price movement is expected to occur at this price. The other support and resistance levels are less influential, but may still generate significant price movements.

Pivot points can be used in two ways. The first way is for determining overall market trend: if the pivot point price is broken in an upward movement, then the market is bullish, and vice versa. Keep in mind, however, that pivot points are short-term trend indicators, useful for only one day until they need to be recalculated. The second method is to use pivot point price levels to enter and exit the markets. For example, a trader might put in a limit order to buy 100 shares if the price breaks a resistance level. Alternatively, a trader might set a stop-loss for his active trade if a support level is broken.

P.S: You can learn MASTERING PIVOT TRADING in less than 3 DAYS. e-mail (uk) : futuresART@yahoo.com

INDICATOR

P.S : YOU CAN MAKE PROFIT BY LEARNING HOW TO USE THIS INDICATOR. (E-mail : futuresART@yahoo.com)

Profitable Trader

But what is excellent about him and this book - is his "cut losses quick" attitude. In the whole book, only once he got stuck in the position hoping that it will reverse and he exited losing EIGHTEEN PERCENT!!! His normal loss would be $.50-$1. Tell this to people who bought Nortel and still holding it. It took me 2 years of heavy losses to learn to always have a stop. And he seemed to have achived it so lightly and so effortlessly!!!

Another thing that he adheres to religiosly - "let your profits run" (with proper trailing stop of course).

And these 2 rules really what puts apart a profitable trader and an unprofitable one.

There seemed to be considerable falsification by omission. While Darvas proudly wrote of the profitable trades he had made, the investigation revealed a number of loss-making trades made by Darvas which never appeared in the book. If the loss-making trades made by Darvas - which never appeared in the book - were deducted from the profit-making trades - which did appear in the book - it was difficult to see how Darvas had made 2 million dollars in the stock market ... if he had made anything at all!Furthermore, the 'box system' which he claimed to have discovered bore a strong resemblance to a system advocated by the king of all speculators, Jesse Livermore, in his one and only book, The Livermore Key. One of the reasons that Livermore took his own life was the fact that the methods outlined in his book were no longer feasible in the United States following the introduction of the Securities and Exchange Commission and the imposition of various restrictions on share dealings.

By the time How I Made Two Million Dollars in the Stock Market was published, people had forgotten all about Jesse Livermore. Livermore had become the anti-hero of a bygone era along with the Crash of '29. After studying the findings of the Darvas investigation the Attorney General launched a criminal action against him, alleging that certain statements he had made were fraudulent. Darvas's legal advisers countered with an action against the Attorney General and the United States for defamation of character. Lefkowitz decided the public interest would not he served by embarking on a long, tedious and complicated trial that was likely to give Darvas even more attention than he had already received. He therefore decided to drop the criminal action on condition that Darvas withdrew his action, giving an undertaking never to transact any type of securities dealings in the United States, or to become in any way involved in the US securities industry. Darvas agreed. He then left the United States to become an exile in Europe.

交易

頂尖交易員4大贏錢法.

每位專家的炒作方法各異，但幾乎所有成功的秘訣，都某程度上運用四大基本原則。今次節錄其中兩大原則（順勢炒作及讓利潤擴大），看看有何獨到見解，以及如何執行這些原則。

幾乎每位頂尖交易員成功炒作的背後，都必須恪守四大基本原則：

1）順勢炒作
2）設定止蝕位
3）讓利潤擴大
4）管理風險

讓利潤擴大很重要，因為期貨炒賣很難，賺錢的關鍵是一年內所看到的幾次大走勢。一旦退出某個大走勢，不論從心理、情理、財務方面看，都很難重返市場。若你短線炒賣，到頭來蝕錢的機會比賺錢多，因為短線交易成本很高。因此，必須讓賺到的利潤繼續增長，而且要賺很多才好收手。

提到“我賺大錢從來不是我的想法，而是我縮手不動。”這真是一針見血。這話的意思是，你不必是天才，卻只需要多一份耐性，緊守正確的方向。

要在市場賺到最多的錢，便要在大走勢中長線持有。要緊抓大趨勢不放，至少有一次忍受回吐25至35%的利潤。對大部份人來說，這個下跌幅度無法忍受。

建議用折返三分之一作為獲利離場的指標。當面對市場垂直上升時，可把最終止蝕位放在兩三天前的低位之下。當獲得厚利時，就不必用兩天前的止蝕位，而是以前一週的低位取代，但永遠要記得定下止蝕位。

WISDOM OF MARKET

Starts with gaining thorough knowledge of one's own self.

Through letting go of all attachments and giving rise to wisdom, our mind can regain its luminosity. We call this knowledge of the notion of self "enlightenment" or "seeing one's self-nature." This is the beginning of helping yourself to thoroughly solve real problems. In the end, you will discover that you as an individual, together with the whole of existence, are but one indivisible totality.

There is no need for any teacher to transmit it; what is transmitted is just the method by which one can personally experience.

依智不依識︰

智是聖人的智慧，乃從無我的大智、同體的大悲中產生。

因此，凡含有自我中心，不論為己為人，乃至於為一切眾生，或者為求成就無上的佛道，不論是大我、小我、梵我和神我，個別的我與全體的我，都不能產生真正的智慧，因此仍屬於知識及認識的範圍。

知識是從自我的學習經驗中產生分別、記憶、推理等的作用；
而智慧則只有客觀的現象，沒有主觀的中心；只有運作的功能，沒有主體的中心，

如果與此相違，就不是明師。