Tuesday, November 04, 2014

Why retailers will be losers?

Morning ... it is scary. RM is real ... so ... we shall see. Confidence is lacking ...sigh.

On the good front, KLCI rebounded V-shape. More noises about IFCA, SMRT and such moving ... new kids such as Nishin into O&G play ... yeah ... we are in bullish mood again ...

I have sold most of my positions and hiding ... need to reserve some energy when the time is so-called right to buy. Timing the market is near impossible. Don't try ... it is not for us to say which will move up or down. Who are we small ikan-bilis, retailers?

Just merely 2-3 weeks ago, many running-chickens. Yeah .. it flew so fast, rebounded like cheap sales ... while when it dived, everyone selling as if they forgotten why they are buying in the first place.

Let me give you a "solution"

This is the solution. VERY speculative and no idea why it is being pushed up or down. The term they used is PUNTING ... say, buy today, just hope that the operator will goreng her.

There you are ... the best solution is to AVOID. Dropped 40% rebounded sharply so that reatilers punt inside again ... only to dive 60% in THREE days. Oh boy .. reminded me of AMedia and many more.

This was brought up buy a new member in my stock-watch last night. So, I have to remind all in my group that we are traders, not gamblers. We trade with a system ... logical brain while making decisions based on plans. Then, we try to execute the plan as rigid as possible, without emotion and biasedness. Of coz it is easier said than done ... that is why we learn and improve our trading system as time goes ...

But, guess why many of us retailers like these type of stocks?

Many reasons behind is ... one is obvious --- OUR GREED.

No thanks to many remisiers/dealers who want us to trade and asking us to punt into such stocks, forum-kaki who will boast how many % they gained from these counters, bloggers who have personal agenda ... writing about those stocks as if it is a sure win, media ... which helps to spur some interests so that greedy ignorant and desperate retailers will jump into them ... emmm ... insiders or irresponsible management of the lousy companies who which to off-load their holdings as they knew the inside BAD financial health of their accounts.

The list could be so on ... how do the retailers learnt to know about these companies? Think for a while ... if u a newbie ... when was the first time you heard of these companies such as Solutions? Of perhaps Efficien? Hmm ... why Nishin is so popular at the moment? WHERE do you find these counters? Anyone telling you any rumours ... say, Mara buying or going into O&G which attract us, retailers?

Guess who is spreading all these ... so that they caught YOUR attention?

Yes ... it needs to be ACTIVELY traded counter!! So, that everyone who watch their platform everyday(for what? no life meh?) ... looking for something to BUY ... want to know what is hot and what is not. But, most of us trapped inside the emotional chain-reaction.

Sona : Breaking 42, we shall see 38 as our next floor.

Someone asked me nicely that he is trapped inside Sona and wonder what he should be doing? I did not reply to such e-mail as I don't know why he bought Sona at that level, how much is the position ... when he bought it and so on. Yes, his personal trading plan. But ... I knew most retailers DISLIKE or DONT KNOW about planning ... to them, someone said buy ... beli la. Then, quietly praying it will go higher ... and higher ... then, bingo ... lets go to Swiss for Christmas, shall we?'

They said ... charts don't lie. Well ... half truth there ... human lies. Yup ... GBH is another interesting chart here to show you HOW they pump it up with O&G venture news ... only to cancel it due to whatever donkey excuses. And retailers believe in these stories? Fabricated rumours? Too oily ... it slide, bumped and injured now. What should we be doing? Nothing ... sell and learn the lesson. Oh yes, if u cut-loss now ... somehow, one fine day ... they will say they moving BIG into O&G again ... and this time is for real?

If one got trapped in recent selldown ... and still many stocks in hands which are penny, in coma ... (zzzzz) and lousy losing money companies, do ASK those who asked you to buy what you should do. If your remisiers/dealers always recommending lousy counters and you always get trap ... we have two choices --- change your remisier or do not believe his tips!! We can decide ...

Ok ... I am at Mydin, actually. Done with my blah-blah here ... and time to do some jalan-jalan. Not trading anything much and prefer to be spectator

Note : Will reply to some e-mail later on. Some e-mail are interesting.


No comments: