Thursday, October 9, 2008

Gambling?

Do you wants treat investment shares like gambling? Recently a lot of rich people claims that this crisis gives them a chance increase the wealth in hand. Because they holding a lot of cash in hand. “The strategy is:- On every heavy adjustment just buy in and hoping for tomorrow market could technical rebound.” I am not objection on these strategy. But I think the chances of making profit have 50% only. Why?

Because: -
a) In order suitable using the cash in hand select any good stock, that is not an easy task.
b) If this rich man previously is an investor, the holding stock’s in hand current registered price mostly has been adjusted more than 50%. If this purchase help him earn 100% returned, that just enough to help him recover his previous lost.
c) If he is a new bird in share market, I believed he has 30% chances to select right counter to gain some profit. The balance of 70% purchase may contributed him lose.
d) If he already start buying on every adjustment. As at today, I could assumed his current holding stock in hand do not given him any good returned.
e) If he trying the day trade strategy, I believed he must testing 10 round only can gain one times

Is it currently you are applying the above strategy on equity investment? If the answer is “Yes” and already contributed you a lot of money. I believed you could be nominated as a “super hero”.

In year 1997 I have adopted the same strategy. In that period this strategy had teaching me a good lesson and finally I was gain nothing plus lost all my assets in one day.
I do agree if you selection is correct, the yield can contribute you 50% to 100% return. It is almost like you buy/pick a lucky number at magnum 4D game, it also can given you 2,500 times return. If you attitude on share investment is similar like above mentioned. Honestly, I am advice you quickly quit from this market because one day you may experience the same “bad fruits” as me being tasted in year 1997.

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