Saturday, May 22, 2010

Sold everything

Sold everything abt 3 weeks ago:
  • 10 lots NOL @ 2.04
  • 5 lots parkway @ 3.31
  • 2 lots citydev @ 10.32
  • 18 lots midas @ 0.99
  • 10 lots wing tai @ 1.75 (bought @ 1.85).
Altogether a 6.5K loss, including brokerage.

At one point I was up 5.5K. Must change the way I trade:

- Don't feel compelled to buy just because of the bull, only buy carefully on retracement. Mkt takes money a lot easier than it gives it. It is not reasonable to go from 0 to 100% invested, or even 0 to 50% in a few weeks. Edge my way into a rising market.

- Learn to recognize when the market is overbought. The length and strength of the rally:

- Learn to recognize when individual S'pore stocks are overbought. This is harder: possibly I should just say that when a stock has shot up and is now far from support, I can consider selling. NOL for example?

Remember, speculating is just a way to skim a little off the keep out of trouble.... until the next bear market opportunity.