All in a day's work

Well, I've started this blog after the closing of my first week. So I don't think I'd post in what is going through my mind when I select the stocks the last week and so.. there goes. My reflection for the week.

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Week 1
17/9/07– 21/9/7

Trading this week, my first of which I’d actually sat in front of the computer to do my analysis has been in a way, fruitful. Despite incurring a loss of about $212.01, I’ve picked up a few lessons.


1. Always do sufficient analysis and reading up of the company.

Take CWT for example, I’ve done good research on it in terms of chart plotting and analysis and it occurred that the purchase has brought forth fruits, rising from 1.12 to 1.19 at which I sold. That’s a gain of 0.07/share. Definitely nothing to be proud, as I’ve ignored the knowledge to follow the trend as it hit a high of 1.24 in the week. I’ve learnt to be patient and ride the tide.

2. Do not get carried away by emotions

Take Alantac for example. I’ve noticed on the previous day of purchased that his stock has been heavily speculated and intended to buy part of it at a low. However, when the market opened at 9am, it was +0.03 which made it 0.405 from a previous day close of 0.375. Sensing that the speculation would continue from 0.405 since it started from that went wrong. I hastily bid 8 lots at 0.4 at 9:10am, thinking that it would be a good entry point. But alas, it was downhill from there and I was at negative for the next 2 days.

Another reason that made me rush into the purchase is that DOW broke its resistance with high volume, sparkling a possible “bull day”, but instead STI dipped a little that day.

I should have cut my losses at .385 but I persisted and in the end, I sold it off at .37. Additional loss of $120! Oh, the importance of cutting loss at 4%.

I’ve decided to sell this stock the night before and posted the sale order at night at .37 before the market opens as I’ve noticed that DOW dipped a little and with the fear that STI might follow suit. If so, Alantac might not hold at .37, thus the sale order. But I was wrong as Alantac closed at .385 the next day and I actually had about 7 hours to sell, why the rush when I’ve yet to see the market yet? Probably another lesson learnt.

3. New stocks with little/no history. IPOs

I bought 16 lots of Wan Xing and 0.38 while the market price is moving around .38-.395. I was looking at a quick profit and from the chart, it seem as though there is a high probability that it could have broken resistance leading to the decision to buy. It was a decision that took little thought and analysis as once again, emotions took over.

In the end, I was proven wrong again. There is no breaking of resistance level and ah ha, I lost to the market once again. Reason to sell is the same as Alantac.

4. Time your purchases and monitor the Top 30 volume

This time round, I did not get to enter the market with IndoAgri. This stock caught my attention a little too late near closing time when I actually went to do an analysis on the chart. The trading point has already broken its resistance-turned-support level at $1.09 since the dip from July-Aug period.

If I’d spotted this movement earlier, I would have entered the market at probably $1.10. It closed at $1.17.


Well, this week is over. Next week would be better! I’ve learnt some precious lessons and I guess this is the start before I get better at the art of trading. A loss of $212 should not pull me down! Just remember and be a better trader!

Over and out!