Yesterday at 7.39am, I was so confident and I told everyone of a rebound and well it happened. I don't know how many bought at the low but I knew I wasn't interested in that rebound even though there was money to be made. And so I took a break in trading and enjoy my day. Late morning a friend of mine SMSed me and asked if it is ready to long? I replied him No. Why so? Because I knew many would be buying because of rising price, and all these excitement will be soured by today. The BBs are smart people and I think like them. Just when you thought you are going to make money, they will kill this excitement, of course unless you took your profits yesterday.
In the evening I had a chat with Eng and I asked him the question, "You see, I can predict a rebound, how come I am not interested in making money?" He couldn't answer and I told him, it's very simple, it's just short covering with some buying. What I am waiting for is a big one where the market will plunge accordingly using my K theory. The public will always commit the same mistake and I will sit back, watch and time my entry.
So today, you can expect reactions . Those who bought at day high, You are on your toes. I might or might not trade today but I know I shall watch until it turns.
Ronald K - Market Psychologist - The Big Speculator
