"Since the February of 2009 (point to point) the Index has gone nowhere. In fact, if you look at the share prices of some of the stocks they are trading at almost the same level. The equities have gone up and there after hammered back due to some reason or other, like in the past it was due to Dubai debt issue or local political issues.
No wonder, when the markets elsewhere in the world are recovering the local investors are loosing the confidence in the recovery process." This was the situation till last week.
Off late, the market have bounced back (you can refer to my earlier post "Time to buy Kuwaiti Stock?") due to some technical reasons and fundamental factors.
Looking at the charts (technically), it appears that as long as the index stays above the support level (at 6,600 - green line in the below chart) there is no need to worry and expect the market to rise further towards 7,000 mark. But if the support is broken, the market might plummet well below 6,200 (red line in the below chart).
So far all in well with regards to the market as there is no major news or rumor in circulation. Hence enjoy the ride till it last.
Happy Investing!!!
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