Err...

So you are saying that you will wait for 45 to buy?

Well at this point there is no correct or wrong..... yet.
Events haven't unfold yet.

But here is my thinking.
For it to go back down to 45 sen, this means weakness.
ie if you put everything back into context, since that big fall, the movement of the stock is weak.
For the stock to fall back to the 45 sen it would meant that the buying interest in the stock is weak.
The big chefs in the stock doesn't seem motivated to push the stock up at all.
If that's the case why buy at the 45 sen support?

On one hand, by definition, one might see the support but on the other hand, there is also no written guarantee that the stock will move back up after hitting the support.

If buy a few lot also consider rich 1 meh?

This post has been edited by gark: Oct 23 2013, 03:27 PM

This one ... I say no.

The strong hand is staying away from the stock right now.
Stock looks mighty weak.

Anway, what's your perceived fair value of the stock at this moment?

Probably RM 15 is the fair value... it has gone down from over value to fair value.. not sure it will ever go down to under value...

Actually what I meant to say...

if you buy at 15..
how high you think this stock can go go go?

Probably trauma from when i let go at RM 8 plus... later cannot get already Now die die must get back..

ok lah.. wait for more weakness..

Thanks boon for helping in the thought process...

This post has been edited by gark: Oct 23 2013, 03:42 PM

oh i mean support is 45. once it touches then gone case. sorry i sound like such a noob
yes the chefs are definitely not pushing hard.
but it also feels like they've not loosen too much grip either
not very sure. its like somehow on the fence now...

I actually don't like to buy on weakness.

Say if it hits 15...
Is it a must that the stock rebounds once it hit 15?

What if the stock continues to show more weakness?

i've just bought in benalec, held up well at support.

The FA still looks good mah...

So back again.. apa stock Ah boon is looking to buy now?

This is why waiting is so important.

Rushing to buy a stock at 'supports' isn't a reliable strategy.
Sharks, if they are in control, they know very well where the supports and resistance levels are.
And they are crafty enough to make meals for themselves by setting up traps at these levels.

I smell a trap.

boon, what do you think of benalec ? chart looks ok (i think), found bottom (i think). technical rebound today (i think)

Nice rounded bottom and it does look like it might attempt to stage a break from its recent downtrend.
But I think it's too early days now.
I would probably wait and see first.

As you know, the weakness in the stock stems from its really poor earnings performance.
To breakout, I reckon that the earnings recovery has to be there.

yeah earnings is quite shitty. just hoping for ST technical rebound.
SWEAT.

The rounded bottom looks a bit like AA.
But if you would compare it to AA, there's a slight bit more positive factor in AA.
Ok, the coming quarter for AA should be poor but that should be discounted by the market already (unless the market thinks it wants to be disappointed by the poor earnings again. ).
Since the market is a forward discounting machine (as practised by many... ( wonder if anyone wants to argue on this)) , with the recent strengthening in ringgit vs the dollar, the market might factor this as a forward positive factor for the stock, which is why there is strentgh in the stock.

However, in Ben's case...
nothing clear and in fact the recent removal of some directors in the company only serves as more unknown factors in the stock.

*****

Taking profit is ok but it should be taken correctly.
Do not, for one bad experience, embark on a wild taking profit just for taking profit sake.
Trading it correctly is more important.

LOL.. wild taking profit, so true lah. im trying to follow some general advice i read in books to ride on trend. right now budget trend.

i will be careful with ben im oso worried.

right now portfolio left my old fundamental stocks. and two more fast exits for this week.

eyeing airport and bursa if got opportunity.

Selling is just as hard as buying.

You need to learn to know when to sell for a profit correctly.
And you need to learn when to sell when you screw up on a purchase.

Of course, buying correctly does help significantly.

unfortunately, haven't learnt how to tell when to sell yet.
right now use short cut method is to just sell as long as it reaches a certain profit amount.
safest most practical way... before adjourning to next stage

Let's use simple maths.

If you trade often, speculatives and fa all counted...
What's your trade winning percentage now?
50%?
60%?

If every trade, say you have a 60% winning % (which is damn good, pro status liao), and for every trade you win, you win at 5%.

You make 10 trades, each valued at 10k.
You win 60%.
So you win 6 trades.

Each trade you make 5%.
For every 10k trade, you will make 500..
So you make 3k

40% losses.
At how much do you cut loss?
Can you do it at 10%?
Which means every losing trade you make 1k losses.
Out of 10 trade, you lose 4.
So you will lose 4k.

End result?

Total losses will be 1k.

Conclusion?
Losses must be kept at minimum.
Profits must be big.

Simple maths.



This post has been edited by Boon3: Oct 23 2013, 08:49 PM