Saturday, August 18, 2012
Stock Watch : Genting and GenM
GenM : I have shown earlier my trades on her from buying below RM3.40 and also average down at RM3.28. Today it is at RM3.48, about time for me to release her ... as it is testing 50MA. I am still waiting for some signals to sell. Could it go above 50MA ... and to my target of RM3.60? We shall see ... GenM is always a safer trade, so I could buy into her in larger portion.
Genting : While GenM moved above 20MA, Genting is lagging and testing 20MA now. As I have bought at a good price RM8.88, Genting at the moment is at RM9.06 level. I was planning to average down at RM8.50 but it looks that it is on the way of recovering. So, I will sell all my GenM and average up Genting if it managed to clear 20MA.
Making trading SIMPLE is my policy. Simple understanding how these stocks move(I have traded both many of times and that could give us the understanding of the characteristics) ... and using simple charts to trade.
I am NOT a believer of technical-analysis with all those indicators. What I do share with my tratles are a system to trade, from trading plan ... understanding of some fundamentals and how market works. It might takes some newbies years to learn, if they ever want to learn. Most of them will fizzle out ... mis-lead by forums, mis-lead by many opportunists who want to sell them softwares and trading courses. And most of those trading courses costing thousands, as if we could trade after attending those courses
(I want to guarantee those newbies that you will NOT be able to trade well AFTER those courses as it is not the course, it is our mentality in leanrning and trading)
and gain back those thousands ... you could not. Serious. I wont say "I can do it, so can you" in this case as I do believe majority can't. They prefer easy way out such as making noises in forums or listening to some easy-money tips, without realising many out there are 'runners' working for some syndicates or some are trying to convince others their 'calls' ... I told you so that KNM will jump up, see see ... hmm ... sound familiar?
I did not tell you I know GenM or Genting will rebound. I do not know ... if I know, will I bother to buy into other stocks? How about put ALL my money into GenM at 3.28 and sell in stages ... or perhaps when it reaches RM3.60, I sell it all? Logical?
If one is emotional in trading or in markets, without a system ... without a plan, there is no way we could trade well. Seeing things LOGICALly and using BRAIN is very important. With majority 90% retailers losing money, why are they still doing what others doing(like buying softwares or getting tips from forums?) ... to join the herd?
We should be doing the opposite, be a contrarian ... and doing our own research. But ... majority want to profit(yeah right ... tell me about it, you are not logical again) ... easy money and they take stock markets as a 'gambling' place. With such a mentality, it is easy to explain how those 80-90% of us losing money?
Anyway, have a nice journey back ... think about what I have to say here critically. Think about it if you are still losing money when KLCI hitting new high, actually. The chart of KLCI showing weakness, but we will check again .... to see what will happen to my two Genting's bro-sis.
Happy Raya ahead.