Market falls weeds out weak holders

From Edge Singapore:
Market falls weeds out weak holders
Military exchange between both Koreas putting additional pressure on Singapore shares.

STI off 1.5% at 3,142.11 vs down 1.1% at 3,155.77 midday; support eyed at 3,119 (Oct. 29 trough). Decliners outnumbering gainers by almost 7 to 1 in broad market vs 5 to 1 shortly after post-lunch trade.

“The market has been correcting for about two weeks and now you can see some panic selling. It’s cleansing the market of some of the weak holders. It’s a bit overdone. There might be a rebound soon,” says head of equity sales at foreign brokerage.

Among small caps, notable decliners include handful of Singapore-listed companies in midst of dual-listing in South Korea’s Kosdaq market; UMS Holdings (558.SG) down 4.1% at $0.465, China Gaoxian Fibre Fabric (I4U.SG) down 3.9% at $0.245.
 

Weak holders? Not just them, but the traders who are locking in good profits and waiting for a lower level before buying again. I would be entering Sino Grandness at 35 cents after correcting from 42 cents, and Technics Oil at 77 cents.