CNY Sale + Divorce?

Retail investors are cashing out to fund their own CNY festive expenses. Even with good news around the world, rally is not realised in Bursa. This is expected by many as many are selling their shares as they need cash now.

With increasing selling pressure, the buying pressure will increase next week. Those who are cash rich should go back to stock market and get some bargain.

That is why I always ask myself: what if everyone is selling two weeks before CNY? This is what we are seeing now. Low volume with selling pressure to gain access cash for festive expenses.

Is it a "decoupling" (divorce) phenomenon? Yes, for a rally but no for a dip as Bursa is still married to a bearish trend if there is any. This is due to the local desperation of cash. It's only temporary.