The current volatility ... is un-bearable for some to stomach. DOW up 180 points and we might see buyers coming back to markets, only to sell-off yesterday. Hence, I do think it is the best to stay side-way after such strong rebound as a more significant correction could be on the way.

Marc Faber : He said China could be the next shoe to drop. Do read.

PC : Dear Experts, can you please give me some advice on counter CIMB 1023. I bought it at 6.99 - 2 lots, 7.29-1 lot, 7.30-1 lot, 7.75-1 lot, 7.82-2 lots & 8.11-2 lots, averange price is 7.58, should i continue hold or sell 2 lots first?

The above was taken from RHBInvest's forum ... once a while I do drop-by to check as there are many 'experts' there where I could pick-up some opinions and learn from them. I seldom reply to any of the messages there. Then, this one struck me. I feel that I want to help but ... again, I am reminding myself not to advise on buying/selling. I am not qualified to do that. Whatever I wrote here is merely my personal opinions.

From the way he/she bought the CIMB stock(tho so-called a good stock, luckily) you could see that she is not using charts(to trade) or neither a value investor. So, advising her on technical-terms could be confusing. RM7.40 is the current resistance, which may be a good level to clear half and HOPE that it could break above 7.40 level to the next strong resistance at 7.80 level. Support at RM7.05.

Fundamentally ... hmm ... when is the election again? We need to speculate on such political news. Afterall, it is an GLC with closest proxy around. For banks, I will prefer a 'safer' one such as PBBank(my uncle's) or even MayBank. If you get stucked, they still pay good dividends!!

CIMB closed lower yesterday, at 7.19. Well, its current high is 7.49, not so far from 7.58 ... which is still bearable. Hence, buying into these good stocks ... if you dont profit, you might not lose an arm. But if one is to buy Harvest and to keep till the next harvesting season, then you should either harvest it NOW before drought or typhoon coming ... and you really have to wait for season, if ever.

By the way, many are talking about Harvest ... as if it is the best stock in town. Temptation is our worst enemy in markets. The huge percentage in days 'opening' up many greedy eyes ... and yes, it will still go up another 50%, at least? UMA by Bursa is just for the formality of it. Perhaps some dealers goreng-goreng Harvest with some syndicates and if he is caught, he might be fined RM60k. Ouch.

11.10 am : KLCI up 6 points and HSI up 300+ points. I was busy trying to post some rules in my tratle's facebook but failed. So, I get frustrated with that and need to send them thru e-mail, instead. Sigh.

Emotion : To me, emotion is ALWAYS in play ... in markets. Being emotional while in markets could sound disasters. SERIOUSLY ... that is my module 5 --- trading plan. How we should start to plan and why we need that before we trade. The main reason is to take away our emotion --- GREED, HOPE, FEAR. It is easier said than done, ok?

NEWS: Sources say Sagajuta Sdb Bhd MD Datuk Raymond Chan is understood to have acquired a substantial stake in Harvest Court Industries Bhd. A block of 23.8 million shares in Harvest Court were crossed in five separate off market transactions. The buyer is said to be Chan but the seller is still unknown. Chan is developing the 1Borneo mixed development in Kota Kinabalu with a GDV of rm1.2 billion. With Chan emerging in Harvest Court , observers said he could be looking at injecting Sagajuta into Harvest Court after the failed talks with Jerneh Asia, but remains as speculation.
Example : While we seeing Harvest flying so much higher today, we will THINK(or feel?) we are missing something BIG here. We get ourselves mess-up in our emotions. One point telling us to stick with our criteria(say NO to speculative stocks, for example) but at the other end, we really thought we should punt into these stocks --- fundamentals or not --- it is punting anyway. No technical indicators needed too. RSI and Stoc showing extreme overbought. The risk might be HIGH but if you ask a punter now, he will brush you off. Dont disturb me earning money from markets, ok?

Why we should NOT trade such stocks? Unless u r those risk taker, have all free time and have been in markets long enough to know how to QUIT(buying everyone also know la), you should NOT take any positions on these. It is PURE speculative, PURE syndicate playing(follow the hot-money, if u know how) and pure-ly for short punts. Fine. You get the thrill ... and quick profits. You will feel lucky. You even feel that you are good ... that FEEL is not good for a trader. You will cultivate not-good habits ... since when gamblers winning money in long run? Think ... hmm ...

Chasing stocks : There are a few criteria I placed before I decide(or not) to chase a moving stock. For example, chasing Mitra and Naim now ... tho I know it is for short-term fun-management(rather than fund), these trades will NOT give me good profits, anyway. Unless it fly of ... suddenly. Example .. Muhibah which I sold at cost price, flying this morning. Am I chasing? Nope ... as it didnt satisfy one of my criteria!! Arghh ... so discipline for what? Earn money in market only ma, why so serious? That is what majority will say ... ermm ... I have learnt to be strict with myself. I may not impose such rules with my tratles as we are ALL different. They are with me to learn trading in proper manner ... whether they want to pick up more good habits or bad, it is really up to individual appetites. Do you know why MANY caught at the high and hold on till now and stucked there, losing money? Cutting losses is TOO painful, so ... it is up to HOPE analysis now? Because they are UN-lucky ... chasing a stock when it was moving, dont know what to chase, how to chase ... just chase!!

Saddened Emotion : Yes, today is a little emo --- today is my old good friend, Ivan's birthday. But, he passed away months ago and I got to know about it only recently thru a friend. We used to be together, my mamak-kaki ... borak-borak till end of nights into mornings!! That was about 15 years ago!! BTW, he is same age as me. At 44, it is young. When I am sad or in emotional state, I dont trade.
lunch time.

Mining Stocks



Playing on the leverage of gold-price uptrend. Oppss ... gold is down, at 1660 now.

Listen to the above, my dear tratles --- it is talking about RISK and REWARD.

TEH