it depent what u want...1k...10k...or 100k...pre-cautions how much u can lose before think of how much profit...

If want to earn money by playing stock try to accumulate dividend stock when they go down like now. I think with PE OF 12 and below is a good buy .


For Example:

Titan Rm 1.30 TARGET PRICE RM 2.50
MaYBANK rm 7.10 tARGET PRICE RM 9.50
commerz RM 7.50 target price RM 10.00
BURSA RM 6.40 TARGET PRICE RM 8.00

Dude, you get it wrong on Bursa. Bursa lastest annualised PE is around 30x.

Lastest Q result show Bursa's EPS is around 5.x cents only, annualised is in the range of 20 cents+. So at 6.40, easily its PE can be near to 30.

Don't use past data to judge on PE, it can mislead one. Instead use current and future profit ability to judge which is what market care about.

This post has been edited by cherroy: Jul 21 2008, 09:05 PM

Yup, thats y bursa dipped to RM 6.40 with PE of 30 now. If not how can the price dipped? But the market is a cycle. It goes up and down. It will go up in few years time with PE of 10 times.

I started with 2000. That time with minimum brokerage RM12 with 0.7% rate, 1800 is the minimum trade size where 0.7%>RM12 i.e. not lose so much on broker fee.

Now have 8700. I more on the technical side. Play the trend. Seldom hold more than 3 weeks.

Nowadays with the minimum broker RM28, every trade I make must be at least 4000. So with 8700, at any one time I can only have two open trades. I don't do margin.

Small fish only. Still learning.

This post has been edited by sabrateur: Jul 22 2008, 12:50 PM

bursa today RM 6.90

bursa price trend will affected mostly by trading volume. If trading volume is high that means the earnings will increase of course. Now of course the PE is high mar lol.... When the market get better the trading volume will go up. Thats y i think can keep this share with price about RM 6.00 to RM 6.50...

CANNOT SAY NOW PE 30 SO THE STOCK WILL GO DOWN AGAIN AS WE NEED TO SEE THE FUTURE ...

I DON THINK PPL WILL DUMP THEIR SHARE WHEN THE PRICE GO BELOW RM 5.00.....

Since when I said it will go down or up? I just correct the PE part of Bursa only. The rest, it is up to individual to judge.

Yes, you are right, Bursa profit is directly correlated with the trading volume. So market quiet and go down, Bursa's price will drop and vice versa.

But as my previous post, I come out with PER near to 30x based on its latest financial result so that people will have a clearer picture. For sure, it is not a PER 12x stock based on its lastest Q result.

But history always show that average PER for stocks which is in sustainable level is around teen number. But, yes, a PER 30x stocks share price doesn't necessary will go down if future profit is going to rise, that's pretty sure of it.
But if future profit won't going to rise, then a PER 25-30x is not sustainable over the long term.
Future profit whether able to materialise or not always hold the future of share price movement.

Short term wise, for sure, any stock can go anywhere. But over long term, market will correct itself one.

This post has been edited by cherroy: Jul 23 2008, 09:42 PM

I hope that you have disposed of your shares as it now at 0.07 sens.

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Added on July 29, 2008, 1:51 amWell not everyone is a warren buffet, he is more of a fundamental guy, the kind that will target blue chip stocks. Not that it is a bad role model but how many people can afford a BAT stock at 41.00 per share or DIGI share at 23.00.

People have to start somewhere and some cheapo stocks are the way to go.

This post has been edited by georgechang79: Jul 29 2008, 01:51 AM

Wrong perception on Warren again
How can he afford blue chips when he started with only $105,000?
We need to look at his beginnings, not what he is now.
I think if we are preservere like him, we still can succeed (although not as rich as him).
Investing is all about preserverance and patience. Rushing brings you nowhere.
Doesn't mean cheap stocks can never be a blue chip if the fundamentals are.
Just to clear your misconception on Warren

if u bought PBBANK or LPI with RM2000 from year 2000 and go to sleep. By now u already have at least RM20,000 (share + dividend). So which is better, play the trend or fundamental.

This post has been edited by Singh_Kalan: Jul 29 2008, 10:05 AM

I start with capital RM5.3K 2 months ago , now if i sell my share , it worth about RM5.6K - Rm5.7K . Still beginer in stock market .

Hmm, sometimes I feel that beginners do better than me in the market..
Is this what we always call the "rookie's luck"?

Mayb really because of luck , I bought Airasia 0.91 without knowing the oil price will drop . I just follow the trend when Airasia grow from 0.8XX to 0.9XX . Oh ya , you are Public Mutual Consultant right ? Actually my PCSF in Public Mutual still losing money as I bought at 0.2167 . How do u think about this fund ?

Definitely, I had the beginners' luck too when I started.

Do NOT play with luck too much thinking that the luck will follow you forever.
LEARN more about the market before endulging.
There is a discussion on PCSF http://forum.lowyat.net/index.php?showtopi...hl=public+china and I think you can learn a lot from that thread as I have been commented quite a number of times

Try Genting or any slot machines. You will have the luck at first, but in the end you WILL lose at least double of your capital.
Trust me, all gambling will end up this way