RM0.05 is 25% out of RM0.20.

Buying a RM1 share and wait for it to go up 25% also the same as waiting for a RM0.20 share to go up.

You might think a RM0.20 share is more likely to go up 25% than a RM1 share, please do not think that way. A counter whether it is RM20 or RM0.20 has the same chance of going up, all depends on their fundamentals or people trying to 'goreng' it. It's just that RM0.20 shares are more affordable to retailers, that is why they would normally buy those when it is going up rather than the RM20 shares. And they will also normally be the ones who get burned when the prices start falling.

RM2000 + 20% is RM2400, but always remember RM2000 - 20% is RM1600.

Always remember to look both ways when crossing the road. The stock market shares are the same, it can go up and down so don't always look at the upside only or you'll get wtfpwned by the downside.

This post has been edited by skiddtrader: Mar 28 2008, 04:49 PM

Seng_kiat, from your recent posts you seem to have this excitement to get into the market and make money. I know that excitement and I believe many have gone through it as well. But I have to caution you as much as I can to do your research and read as much as you can about the market before entering your first orders.

Don't worry about lost opportunities and don't fret on it. Don't let the excitement of earning money cloud your judgement. I would really recommend you try the CIMB virtual iTrade for practice first but that's up to you.

Good luck and don't stop learning. Don't survive on spoon-fed news and tips from the media or us, formulate your own ideas and interpretations.

Thats totally up to you. You need to decide what kind of time line or trade you want to do before you buy a share. Some people want to buy something and keep it for a day because they know the share prices will not last, so they buy today wait for it to go up a little and sell it when they make a minor profit.

Where as some people do not intend to sell the shares they buy because they are confident of the counters they buy will increase over time. And will only sell in a few years time when they want to buy a house or car.

You have to know your limits and have some kind of strategy before you make a trade. Are you a day trader? Short term, mid or long term investor? How much money do you have as reserve? How much of a time frame do you have before you need to use the money for something else?

So the answer to your question is "You should know best". These kind of questions does not have straight answers and will vary from people to people.

The stock market needs a willing buyer and seller, else there will be no trade. As long as there is no queue to buy, you can't sell and you have to lower your price until someone is willing to buy it, or hold it there for someone to buy it.

Same with buying, if no one wants to sell there will be no queue at the sell orders. So the buyers needs to increase their offer price to entice sellers to take it.

As long as there aren't enough buyers, prices will drop. Opposite for sellers, as when there aren't enough people to sell meaning they love their shares, the offer prices will go up to reflect the value of it.

That is why sometimes you see the prices plunging like when after the GE, prices for a lot of stocks drop a lot. That's because there are a lot of nervous shareholders who wants to sell but the buyers are also nervous and do not want to buy. Thus the prices slowly drop as the orders are done and since there aren't any buyers, the sellers always lower their prices and queue it lower and lower. If there are a lot of desperate sellers, and no one is buying, you will see the prices drop very fast as each seller try to out bid the other by lowering the prices as fast as they can.

For your question, if your stock increase by 110% and there are still people waiting to buy, then of course you can sell immediately. But if there aren't any buyers at the last price and the buy queue is still very low, then you can't sell at the price you want and it will be queued at the sell orders.

Read up more on how stock markets function from the internet or books from library which has plenty of examples and guides. You can't expect to learn everything from the forums. I have to agree with what WinDs said and put your money into Fixed Deposit and earn some interest while you are learning.

The only reason people buy warrants are because of their leverage. In a bull market, warrants are extremely popular because as the main stocks rise, the warrants will follow. And in terms of percentage gained, warrants normally gives a better percentage. But beware as leverage is a double edged sword as it can go down as fast as well when the main stocks go down.

Well prices will be falling but you will get more shares since Bonus will be issued in April. 8:5 bonus issue.

The market will probably correct the valuations so it most probably will be almost equal the value it currently is.