Monday, February 19, 2018
CNY Day #4 : Waterfalls
Good morning ... CNY day #4 ... back to work-time for many.
8.20 am : Janda Baik
There are so-so many waterfalls ... and I believe MANY retailers stuck up there, do not know what to do with that. I have tried to 'promote' cut-loss for 2 years plus in this blog and conducted many 'cut-loss' e-meetings.
At times, I do realize that we could not help them ... the newbies, the stubborn old-veterans, those fundamentalist-kaki (low price = cheaper = average down), those retailers who do not wish to face reality of losing in trades
Let's take Hevea as an example ... where I have mentioned for 2-3 years now that the whole furniture-sector was over ... well, Hevea actually retraced from Jan2016 from 1.50 level to RM1 level before done a stunning recovery to new high to RM1.70 level ... wow. But ... from there, the double-top formed, broken the neckline ... and down since then. We are at 88.5cents now ...
Note : Generally, we avoid the whole down-trending sector ... such as the furniture-gang.
Evergreen : It is clear ... from the weekly chart, it is downtrending, right? At 50cents level now ...
Magni (weekly) : still moving lower ... and broken RM4.30 level. Next to check at RM3.60 level.
Ok ... learn to sell and cut-loss ... do not average down. Averaging down is a loser's game, not admitting wrong (no thanks to those value-investing kakis)