Sunday, January 11, 2009

I am worried

When word spreads, when more and more of my friends started to visit my site, I begin to worry. For those that have been in this field before and had gone through the stock market plunge during 1987 melt down or the 1997-98 economic crisis, I am not so worried. I am worried for the new comer and the new stock speculator.
The very fact that the stock market can exist indicates that there is no way one can predict the market trend with 100% accuracy. If it is possible, the market can not exist because everybody would be buying or selling at the same time. If one has been following the investment recommendation issued by some investment house that has full-time qualified professional stock analyst equipped with latest software and hardware and are well informed, he will know that there is no way to get the market right all the time.
Similarly, what I have written is only a hypothesis, my remisier can tell you how wrong my hypothesis can be and how wrong my investment can be at some of the crucial moments in the past. I just hope, with luck, I can get the direction correct for 70% of my hypothesis and I can sense my mistake the moment my hypothesis is wrong and I can act immediately to minimize my losses. It is not easy to make some money through stock investment. Some of my friends that never buy shares but they put their money into buying houses and shops in KL and PJ, they performed much better financially, they are very rich now with steady rental income every months.
Please read my post with reservation, try to get a second opinion, get professional advices before you invest. I can be wrong. However I has to admit that the current economic crisis that is said by many professionals as the most serious crisis since the 1929 Great Depression has offered a very rare and very great investment opportunity. But timing, stock selection and your holding power are important. For long-term investment, this is truly a golden opportunity.

1 comment:

Phuah T. S. said...

It is a good reminder to all of us who read your blog.

Yes. We are responsible for our own decision in deciding when to buy and sell.

However,thanks to you for sharing your analysis with us.