Posts

Showing posts from May, 2009

Choosing the Right Investment Tactic

Image
2008 share market around the globe had fallen 30-80%. Lately, market can't wait anymore, and had started to point the opposite direction instead. Given the vast investment opportunities, which are the best options for you to choose from? First of all, investors must know the first-mover in-case market rebound. First-mover here refer to those companies which benefit when economy recovered. Blue-chips stocks are what you should focusing on because of the following reasons: High Liquidity, where foreign or institutional investors can buy or sell their shares easily, without controlling too much of the share price. Good Reputation, like Genting and IOI, are well-known in the market, which always fall into the radar of investors globally. Industry's Icon, like Sime Darby which is an iconic company of Plantation sector. Should plantation sector revive, you can't deny it. Secondly, choosing the right sector. Some will come first, some will come second, and some will come last. Som...

Rules for Investing in the Next Bull Market

Image
Recently, i came across an interesting article titled above. And, i totally agree with what was written. Here, I would like to high-light to you these "profit-able" rules (if you believe...) 1. Go Global Most investors prefer to stick to their "home" market. It's a mistake. Are you sure your country will gave you the best return? So, spread your bets across the board. 2. Avoid big moves You probably won't catch the bottom or peak. Then, what's the rush? Why buy or sell heavily in one shot? 3. Remember the market is just "us" Shares rose when everyone was buying, fell when they were selling. And when everyone is trying to predict the market, they are chasing themselves through a hall of mirrors. 4. Don't get fooled by the wrong tense People (even economists) tends to say: "these shares have risen", "these shares are rising", "these shares will rise". Past...Present...Future tenses. Do not get suckered. 5. Pay no...

Rally in the Bear Market + Swine Flu

Last week, KLCI showed signs of weakness initially. Somehow, "brave" investor storming into the share market to provide buying support. The benchmark index recovered nearly all the earlier losses to post a positive figure. Fear vs Greed. Hope vs Denial. There are two type of investors here: Thinking of a reversal is already overdue Believers of a sustainable rally Anyway, the optimists appearing to have won the match of emotional market place. Daily average volume of 1.5bil shares and RM1.3bil value make Bursa the direct beneficiary of the game. Nevertheless, in spite of the prevailing market resilience, the underlying sentiment will be very much event-driven, in which the market could swing either way in respect of investors' mood. Let's wait for the results of: US banks stress tests (revealed on Thursday 7th May) A H1N1 flu pandemic treat, seriousness of it, spread or under-control?