December is approaching and let's do a simple analysis on my Gainvestor Portfolio for November
Again, this statistics does not mean anything, it does not mean any hold/buy/sell decision, it is just to summarize and track the Gainvestor Portfolio.
The result is rather disappointing, if we are not able to escape at the highest price. At the closing of 27 November, we will have losses of -7%. A few points to be considered and repented:
1. Buy on rumours, sell on facts.
If we are expecting expect good Q result, once the Q result is announced, normally profit taking activities will take place. There are 3 outcomes from the Q result. One is good result (more than double digit growth), one is bad result (losses) and one is within expectation. If the reason we buy is because for Q result, once it is released, regardless, good, bad or within expectation, we should take profit or cut loss bravely. Unless the reason you buy is because of weakening RM or long term reason, then you can hold. Again, the decision is up to you and your comfort levels. The reason we sell is the reason we buy.
2. This November is volatile month
Even though mostly companies announced their Q results. Regardless good or bad results, all the profit taking activities happen in this November. Of course, we can always sell first and revisit them back later. It all depends on the strategies. I have a few trading friends, who will take profit once it reach 5%, regardless there are still potential uptrend or not, meanwhile, when the price falls 5%, they will cut loss as well. These trading friends, i like them because they are very disciplined and i think i must learn from them. Not to stick to my favourite counters all the time. I can always revisit them back in the future. This volatile month is acting out of our expectation, we can either take profit and keep our cash for the next potential counters.
3. Firm on our decision
Humans are full of emotion. Of course market sentiment is full of emotion also. Giving a case, a counter is in a super uptrend, and after a few days of uptrend, when it is going down, a lot of questions will be popping out, such as "should i take profit? And if i take profit now, i wont get that low price anymore. But if i dont take profit now, it might fall again and my profit will become lesser and lesser." These questions bug me a lot, seriously a lot. When i am thinking for the answers, the fundamental and technical knowledge all bump into my head at the same time. Make me very difficult to make decision. Every split of second counts... After a second, the market sentiment may change, the queue for buyers and sellers will change. Nobody can help us besides ourselves. We need to control our emotion, be firm on our decision. At that time, fundamental or technical knowledge are not important anymore, our own judgement and decision matters the most.
There are a lot of things to be considered whenever we earn or loss. Our mentality and attitude matter the most. Next will be our action to act upon our mentality and attitude. If our mentality is good, our action will be inspiring as it is for the good of everybody and vice versa.
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| Gross Performance in % for Gainvestor Portfolio for November |
1. Buy on rumours, sell on facts.
If we are expecting expect good Q result, once the Q result is announced, normally profit taking activities will take place. There are 3 outcomes from the Q result. One is good result (more than double digit growth), one is bad result (losses) and one is within expectation. If the reason we buy is because for Q result, once it is released, regardless, good, bad or within expectation, we should take profit or cut loss bravely. Unless the reason you buy is because of weakening RM or long term reason, then you can hold. Again, the decision is up to you and your comfort levels. The reason we sell is the reason we buy.
2. This November is volatile month
Even though mostly companies announced their Q results. Regardless good or bad results, all the profit taking activities happen in this November. Of course, we can always sell first and revisit them back later. It all depends on the strategies. I have a few trading friends, who will take profit once it reach 5%, regardless there are still potential uptrend or not, meanwhile, when the price falls 5%, they will cut loss as well. These trading friends, i like them because they are very disciplined and i think i must learn from them. Not to stick to my favourite counters all the time. I can always revisit them back in the future. This volatile month is acting out of our expectation, we can either take profit and keep our cash for the next potential counters.
3. Firm on our decision
Humans are full of emotion. Of course market sentiment is full of emotion also. Giving a case, a counter is in a super uptrend, and after a few days of uptrend, when it is going down, a lot of questions will be popping out, such as "should i take profit? And if i take profit now, i wont get that low price anymore. But if i dont take profit now, it might fall again and my profit will become lesser and lesser." These questions bug me a lot, seriously a lot. When i am thinking for the answers, the fundamental and technical knowledge all bump into my head at the same time. Make me very difficult to make decision. Every split of second counts... After a second, the market sentiment may change, the queue for buyers and sellers will change. Nobody can help us besides ourselves. We need to control our emotion, be firm on our decision. At that time, fundamental or technical knowledge are not important anymore, our own judgement and decision matters the most.
There are a lot of things to be considered whenever we earn or loss. Our mentality and attitude matter the most. Next will be our action to act upon our mentality and attitude. If our mentality is good, our action will be inspiring as it is for the good of everybody and vice versa.
Congratulations to those who had profit in their pockets!!! Next, let's focus in the month of December. To infinity and beyond~
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Thank you^^
Let's Ride the Wind and Gainvest
Gainvestor 10sai
29 November 2015
10.33am
10.33am
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