This year, the benchmark index has risen during the final hour in 85 out of 140 trading days until end-July. If you could buy the index at 4pm and sell it at 5pm every day, you would have accumulated a net gain of 140 points over this entire period — by summing up the net index changes in the last hour of each trading day — even though the FBM KLCI had fallen 61 points over the duration (comparing the closing price on July 29 this year and opening price on Jan 1).
Have you ever wondered whether you could make some easy money off a familiar price movement pattern on the Bursa Malaysia, one which we bet many are aware of? Yes, we mean that one where the key benchmark index, the FBM KLCI, spikes sharply higher in the last five to 10 minutes or so, usually after spending the better part of the day trading sideways or in negative territory (see Chart). It is an intriguing question, no?
