I have entered the lion's den of my local stock exchange,the KLSE.
So far i have had success, but I've learned a little bit more along the way.
Care to share my experience?
Before I invest in the stock market, I have 2 basic principles.
First off, I must admit that I am but a really tiny fish, in an ocean filled with big fish. Big fish eat little fish to get bigger. So what do little fish do?
HIDE. or BECOME A BIG FISH.
Now i've found that the safest way to avoid getting killed on the stock market is to stick right onto the big fish. in the KLSE, big fish are likeEPF, Tabung Haji, and the big investment firms. They need, no...THEY MUST get the returns they are looking for, in order to satisfy their owners.
These institutions will use the stock market without mercy.
So the best way to earn a low-risk earnings? follow their moves.
The share market is a bunch of individuals buying and selling shares not based on what has already happened, but what THEY BELIEVE IS GOING TO HAPPEN.
Even if the companies on the share market do change a single bit, people's belief will change! That's what makes the share market go up and down everyday!
So the idea is to know what the majority of people are thinking, before they think it.
In Malaysia, that's easier. Because the majority of the shares on the share market, are owned by the big fish!
Now of course, there's always risk on the stock market. And i haven't gone into the technicalities of executing these strategies.
But I think, it's a good start. And I haven't lost money yet. :)
P.S: Also...
DO NOT BE EMOTIONAL
WATCH OUT FOR FEES.
