Thursday, March 22, 2018
How to buy HuaYang?
HuaYang : What will be our strategy to buy into HuaYang ... just saying la? Assuming we are NOT stuck up there as we avoided the whole property-sector some 3 yrs ago? (Yes, I avoided and abandoned the whole sector that I traded it up ... HuaYang is one of them)
Assuming too that we believe those property-sales stating that property-sector in Malaysia (particularly Klang Valley) is bottoming out ... and after GE14, we will be a boom and bull market ... a V-shaped recovery in property-sector.
So, we want to be 'ahead' of everyone else to buy CHEAP stocks in property-sector. Assuming we randomly took HuaYang at 50 cents current level.
How low could it go?
Put in theory : RM20, 000 for it.
Break it into 30-30-40 = RM6k, RM6k and RM8k
Buy it 10cents lower each level.
RM6k at 50cents , RM6k at 40cents and last portion RM8k at 30cents.
No timing needed as we wont even know if it could ever reach to low 40cents ... right? But, we wait, patiently. Park it till done ... and have our own lives, not monitoring, of coz.
50cents is deemed CHEAP ... hey, 40cents is a bargain, ok? 30cents ... ridiculous!! So, that is sailang-level ... what if going to 20cents ar? Ever think of that possibilities? That is how market work, ya.
Ok ... so, how about the selling point?
Sell every 20% recovery from your entry point. Say .. 50cents up 20% ... sell. 40cents up 20% ... sell.
Dollar averaging at work? haha ... change the % or the level at your own discretion. haha.
Will see if it work ... as I m going to keep a record on this 'method' of buying-selling ... in most new low property-stocks (you may want to apply to TunePro, Karex and such too).
Disclaimer : Just a no brainer way of investing ... during crash time.