I have this caveman theory about stock investment.

Thousand of years ago, our ancestors live in caves. They were surrounded by wild animals. In order to survive, they have the "fight-or-flight" mentality, i.e. they could either fight or flee when faced with danger.

Implanted in our modern brain somewhere, this "fight-or-flight" mentality still exists. We will instinctively run in the face of danger whether it is a fire, bomb explosion or a terrorist attack. Survival is paramount. It takes a trained person like a fireman or a soldier to run TOWARDS the danger.

So, similarly for the stock market, when the market is in a bloodbath, this is perceived as a "dangerous" or unpleasant situation. Our brain's first reaction is to run from the danger. With the proper training, experience and discipline, a trader or investor will also learn to confront the "danger". This is not fool proof of course. There is still risks involved and this is where risk management comes in.

So, how do we become a trained investor? Unfortunately, there is no short cut. One has to experience the up and down of the stock market many, many times. Then hopefully we will become one of the battled hardened veterans.

I thought you went into tech and no bullet already?

But mad respect for you, dare to go in harta, when it already broke below the RM15.16 neckline

Neckline for the remaining big 3s
- Topglove: RM22.42 (RM7.47 after BI)
- Supermax: RM 16.7 (RM8.35 after BI)
- Kossan: RM13.68 (RM6.84 after BI)

If day trading keep on bringing your average price down, its either that counter is highly volatile or your stock is downtrending.

Usually if you invest via FA foremost like you mentioned, it's hard for new stock to keep on bringing the average price down. It would either average up via accumulation of bigger position. Unless you in and out whole lot and not via averaging, that would explain it.

Slowly descending into the red zone again... selling more than buying.... looks like next Monday....

There are 12 category stocks in Bursa, but most choose to talk about only 1 category i.e. Healthcare, and didn't felt bored bird watching every single day here.

there are many great stocks in other 11 categories, start looking and don't make this thread boring talking about same thing everyday.

Was talking about plantation, but nobody bother to know. Most are too focus on healthcare, glove and some unknown tech stock.

What can do, most of the money concentrate on the mentioned sector.

The vaccine producers can adopt this stand in the US. Could the vaccine producers go against the CCP regime? Likewise, could Huawei or any other business enterprise adopt different stand against the CCP stand? That is the difference between democracy & authoritarianism. Democracy & examination systems that are adopted in most of the countries in the world are not flawless & perfect. However it is difficult to have any other better systems.

Healthy people could wait and let those in need to take vaccine first.

Tg gonna make everyone mouth fall open on 17 sep Just hope the price will be reflected based on its qr and eps, cos I noticed recently gloves price do not go along with its eps.

But yea, let's see how on 17 sep.

But it is not equal.

My account executive friend just laughed at me at our Sunday yamcha session. Said I bought TG expensive at RM16 few months ago, and suffering huge loss now. She bought at "half price" on Friday, and will buy more next week.

Accountant pun tak tau pasal share split. I had to educate her.

Is the bull run for glove stocks over? Nobody knows. I was reading the comments in this thread over the weekend. There was euphoria. Glove stock prices will rebound on Monday.

I was not so confident. Why? Because the glove stock prices have not dropped deep enough especially for counters like Supermax. A 5% daily drop is nothing considering the run up of the glove stock prices.

If the glove stocks continue to drop another 5% to 6% daily for the next 5 days, then we can call it a real discount. But by then, how many traders or investors would be left holding the counters? Even today some forumers are quietly cutting their losses. More forumers will be cutting their losses tomorrow if the counters drop another 5% daily and so on.

That is the nature of the Beast. Mr. Market has no memory. It does not remember its price last week and it does not care that you are a shareholder.

Going North or going South?

A lot of fund has taken profit on glove last week on the back of strong retail participation.

It was a good exit i believe, as prices has remained largely steady.

I still feel Top Glove PAT/NP should be around 700-800+-mil. This is fair estimation. 1 Bil is the highest i think it could achieved

Whereas 500mil is the lower floor.

I round up some decimal ya so easier to illustrate

Standard quarter revenue = 1.2b

Last Quarter = 1.6b

Industry Average Margin = 25%

Max Margin = 45%

New Estimated Revenue = 1.8b ~ 2.2b (assumed 2bil average)

70% Revenue via standard negotiation = 1.4b

1.4b x 25% margin = 350mil PAT

30% Revenue on Spot Order = 0.6b

0.6b x 60% margin = 360mil PAT

But if we assume all at high point like supermax blowout quarter, then it would look like this:

2.2B x 45% margin = 990+- mil