Posted by Philip ( buy what you understand) > 2020-07-05 12:27 | Report Abuse

I will try to expand more, as trading can be a very very complex method.

Posted by EngineeringProfit > 2020-07-05 14:05 | Report Abuse

In short, traders just aim to win a small battle in the shortest possible period while trying to minimize loss of 'soldiers'

On the other hand, investors are committed to a longer term engagement in order achieve a remarkable victory.

Both employ a totally different tactics, strategies and mindset.

Posted by stockraider > 2020-07-05 14:18 | Report Abuse

Trading & investment strategy is not mutually exclusive of each other mah....!!

Take for example of Sohai Philip selling pre maturely all his topgloves recently & lost the opportunity of making another 100% gain loh..!!

If only sohai Philip know...how to use trading strategy....he would have sold off 20% & hoping to buy back at 10% lower loh...!!

But if the price keep shooting up another 30%...he would have sold another 20% hopping to buy back 10% lower mah...!!

In this way Philip would at least reduce & recouped some of his lost opportunity in topgloves mah...!!

Posted by EngineeringProfit > 2020-07-05 14:20 | Report Abuse

Recent pullback...

TG to 14

......he"s in again. No?

Posted by Philip ( buy what you understand) > 2020-07-05 15:49 | Report Abuse

If this strategy work for you how come you still driving myvi and can't pay for your kids college?


>>>>>>>>>>

Take for example of Sohai Philip selling pre maturely all his topgloves recently & lost the opportunity of making another 100% gain loh..!!

If only sohai Philip know...how to use trading strategy....he would have sold off 20% & hoping to buy back at 10% lower loh...!!

But if the price keep shooting up another 30%...he would have sold another 20% hopping to buy back 10% lower mah...!!

Posted by Philip ( buy what you understand) > 2020-07-05 16:07 | Report Abuse

Hmm actually no.

Traders like ackman, Soros and dalio also won huge battle. Trading does not necessarily man daytrading. However those who do short term daytrading on average have 70% chance of losing money.

The most important implication is however mindset. Those that make real money trading do it based on either long term datasets, or long term perception changes in investor mentality. In a way it is similar to how investors look at long term business prospects, but instead looking at market perception of reality.

That is why I have never agreed with "technical" analysis mumbo jumbo to use simplified metrics like price action and moving averages to define trading rules.

Using this concept would have ruined you when tg probe dropped to 14 after qr good results, and take you offguard when price go up from 14 to 18.

This is because looking at the share price to base your perception instead of trying to understand market perception of reality would give a lot of false signals.


>>>>>>>>>

Posted by EngineeringProfit > Jul 5, 2020 2:05 PM | Report Abuse

In short, traders just aim to win a small battle in the shortest possible period while trying to minimize loss of 'soldiers'

On the other hand, investors are committed to a longer term engagement in order achieve a remarkable victory.

Both employ a totally different tactics, strategies and mindset.

Posted by Sslee > 2020-07-07 08:58 | Report Abuse

Good morning Philip,
Interest read but you are an investor if you are like Karim able to buy into Kpower and SCIB appointed himself as directors and start to steer the direction on the company. Or you play active role in changing the behavior of the Board or getting your private resolution vote at the AGM.

As traders, we are trying to ride on the success of investor.
So as trader you can make your luck by following ways.
1. Contra-player with the help of TA, the hottest stocks, big volume, big daily volatility with strategy of q buy, q sell, cut loss, cut win base on moving average daily volatility band.
2. Short term trader base on TA up-trending, good quarter profit and good news (breakout)
3. Mid-term trader cyclical stock with this quarter earning better than last quarter and next quarter should be better that this quarter.
4. Mid to long term bottom fishing with recovering stocks
5. Long –term Growth stocks with 673 shareholders hold 95.08% and Top 30 shareholders holding 72.078%

So Philip are you an investor or trader?

Posted by Philip ( buy what you understand) > 2020-07-07 11:48 | Report Abuse

I am trading in STAR, and investor with my other long holdings.

The point here is when you use TA or technical analysis (price action theory) to define your investment philosopy, uptrend and downtrend. In the long run, short term technical analysis trading gives you a lot of false signals. The shorter the time frame the more false signals you get.

the best way to "trade" if there is any good way, is to identify market perceptions based on news and results and to buy/short based on that market perception.

Investing is about ignoring share prices and market perceptions and trying to understand the earnings and growth prospects of the business.

Two very different modes of thinking.

Can you tell the difference?

Posted by Sslee > 2020-07-07 13:01 | Report Abuse

If investing is about ignoring share prices and market perceptions and trying to understand the earnings and growth prospects of the business.

Then what do you think of Tesla since IPO in 2010 at USD17 and had hardly make any significant profit yet and in such a competitive car manufacturing business?

Posted by Philip ( buy what you understand) > 2020-07-14 18:25 | Report Abuse

Very simple question and very simple answer. Would you pay usd1000 to book a car which you have never driven before or seen before or exists? If the answer is yes, then you will know how Tesla is valued.

When you have 500k people paying usd1000 with non refundable usd300 service fee to book a cybertruck, you realize you have just made usd500 million in bookings just on reputation alone.

How many car companies can claim that?