Today is 8th Aug 2014 ... 6 years ago, I started this blog ... named it My Trading Adventure ... as it is to record my own adventures/journey in trading. From learning without charting, to know nothing about rotational/sectoral play ... to my current level, a novice.
Yes ... it was 2008 ... a bad year to be in market. I went in end-dec 2007, actually. Being naïve, as a newbie ... I thought I could profit from market. Well, after reading the fact that 80% of those in market are losing or lost in markets, I have to accept the fact that trading could not as easy as being advertised(you know, those so-called guru/sifu advertising that they gained 20% in a week in such and such trades?) ... it is not just click to buy-sell.
To understand how market works, one may read much. While reading those investing/trading books is encouraged, it is not that simple. If reading books could make us a good trader, then those bookworms could be best traders and earn tonnes of money? Yes, we need the practical part ... exercising our eyes, our fingers ... and most importantly ... our mind to work. Our mind needs to do the opposite ... which is easier said than done.
I was in KK back then, without anyone to guide me. I do read some blogs ... I remembered Dali's, AlexLu's, Edwin's, Jackie's ... these are few popular bloggers who have been blogging before me. But, they are too "ádvance'' ... so, I told myself to slowly learn the "art" of trading and ... navigating in markets.
Today ... KLCI dropped 27.45 points. Great.
In the morning, when it dropped more than 10points ... words spreading that Obama is approving the attack on Iraq. All hell going on ... if u r new in markets and never know what to do, u might panic-sell. Well, I sold many in the morning, some take profits, some cut-loss. Traders ... cut-loss when the cut-loss point breached. KLCI broken 1860, ok?
KLCI chart .. how is that? Oversold now ... so, it is shopping time again new week if it drop ... say, another 30 points? Or shall we see 1800? Wait .. I thought we said 2000 points by end of 2014? Hmm ... the analysts didn't expect Obama to attack Iraq, right? Do watch 200MA line now ...
Interesting news is MAS : Kazanah going to buy cheaply at 27 cents. Good for those bought 20cents, not good for those still holding at RM2 ... or anything above 50cents. MAS was suspended today.
Not all are bleak ... PDZ which we bought at 20cents yesterday doing well today!! Well, the news of Halim-Saad is out ... so, the speculative news is there for us to ... punt?
I have a member, a total newbie to market ... and he asked many questions! Asking questions is good way to learn, but we do need to do our own homework. We need to learn terms ... traders and investors terms before we could understand. So, I will advise him to read as much as possible ... learn those terms, and encouraged him to be hardworking. Well, at least that was how I started ... but I was without anyone's guidance. I do wish I have someone to guide me, then I wont be so lost ... taking the roads less travelled. But then again ... if I do not do many silly mistakes, stupid decisions ... how am I going to be so-called experienced and understand how these work?
Less technical, please. Just focus in learning terms ... group those stocks in sectors, market-cap, ownerships etc etc ... then slowly study some GOOD fundamental stocks. Don't bother about PDZ being hot-ly discussed. PDZ is not fundamentally healthy, it is playing on news and they are speculating on it. So, these short-term trading is too high risk for total newbies.
Yes .. learn what RISK is. Basically, risk is due to the un-known. If we do not know, that is risk. In market, there is always the unknown and un-controlled elements. Example : Suddenly, Obama said ... ok, we attack Iraq. That is risk. If we are buying at high yesterday, we will be in huge losses now, right?
It is my goal to guide newbies ... as I have been in their stage, merely 6 years ago.
One may buy the 'Dynaquest' to check on stocks that traded in KLCI. Generally, it is a good book to check on the fundamental. For total newbie, check on those HIGHLY RATED counters given by Dynaquest.
Example : AEON is 10star(highest). Anything below 7stars, forget about them. Trade these good counters. If u don't know how, go to my facebook and ask more. I will guide if I am free. Most of the time, I am not. Please do not message me as I wont be free to answer. Put the comment there in FB's page, I will get back to it when I m 'free'.
If a total newbie wish to join a trading workshop, go ahead!! Just make sure NOT to join those few thousands of ringgit(RM5k plus is ridiculous ... don't be a sucker leh) and those selling software? Software or not, newbies will not be able to understand or apply them. I know, those promoters will tell you that we just see need to see this signal or click here-there ... easy, can profit liao. If u have not attended these kinda of talk .. you should. Because ... only on that talk-day, they giving huge discount ... example RM35k package for RM5k only. The more ridiculous the hard-selling, the more we need to be cautious. Personally, I do give trading workshop too(less than RM1k .. cheap is not good?) ... teaching only what I know, what I am using for my trades.
I m just a novice ... never claim to be expert ... but once I profit my first million, I will start to give free trading courses(one need to donate to my charity-fund, as I would be involved in charity once I retired from markets). Yes, I will be teacher again ... as I still like teaching!
Question : I was asked ... between teaching and trading, which one you love most?
I do love teaching(MATH ... now TRADING) ... but to be honest, I do like trading more than teaching!!
So, trading could be addictive. Be warned, newbies.
Unless we take our learning seriously, we could not go far. in anything we do, to do well ... we need PASSION. We need commitment. Even when we are tired, we know we are doing something we love ... and will be looking forward to next day. Seriously, I m very excited to wait for next week as it is so interesting to see market dived 27 points today!! If one could not feel my excitement, then ... one may not last in markets.
Jesse Livermore : He is my idol ... I will re-read the book again-again to remind myself to emulate the greatest. And the greatest enemy is MYSELF.
In my 6years in markets, I got to know many many traders ...many are my blog readers/followers. Some are from IBs : remisiers and related. Some I met them for coffee, discussing about some trading ideas but most of them just want to meet me. No, I m not popular(not as many in forums or bloggers) ... and I have no intention to be popular. I want to be good trader, not a popular trader!! haha. But, I will join market talks and groups, to learn more ... as I have many more things to learn. With only 6 years experiences, certainly I have much more to catch-up. So, I quit my full-time job with intention to learn ... and get to know more good traders!! If you are a trader, perhaps we could meet up too, for sharing purposes.
I m even planning to go to Penang (23rd AUG) to meet some traders there. Well, I like Penang and have many members there. If one is from Penang, we can meet up for the drink too, ok?
Time to celebrate ... yes, celebrating my blog's birthday.
Have a nice weekend.