I received calls and smses yesterday on whether it was time to short the market, or if the market was going to spiral down from here etc..Well, yesterday morning I already knew if one were to short, yes he/she could make money, however the risk and reward ratio was not there. What most people are looking for is, when you short the market/counter would tank everyday bit by bit and not short and the next day it rebound. I got to agree it's a very snaky market where it's hard to make money, however so far, I have only made a single wrong call from my day to day blogging, not because I got skill, but because I trust myself that I can win and beat this game everyday. One must not be a inveterate bull or bear when trading the market, have a open mind and see what are BBs are asking you to do.
Although I lost big recently, it has nothing got to do with my calls, it's mostly me breaching rules of the game. I paid a hefty price for it and it shall not be happen again. I lost my senses a little, however confidence wise, it's still high up there. You can lose money, but never lose your confidence.
See the attached sms. Before Singapore market opened yesterday, I already knew Dow Jones was going to rebound last night and that was why I said I wasn't shorting anything yesterday. http://stockmarketmindgames.blogspot.com/2012/04/biosensor-new-high.html It's very simple, when everyone is shorting, and when it dropped down so much with speed and acceleration, there would be profit taking as short covering would take place with buying because prices are cheap and therefore contribute to a rebound in STI today. This exemplifies how I read mind in the market and not technicals or fundamentals. It's not a season for blue chips anymore, just scan a few pennies with potential and go for it.
Ronald K - Market Psychologist - The Big Speculator
