A quick tip about controlling your psychology in trading is never to focus on the paper profits/losses. By now, this golden rule has been internalised. 4 weeks ago, I began to have doubts about my opinion on China shares when my growth fund is having measley returns. The paper profits did not bother me. I was focussed on the general movement of china Shares and the market as a whole. Even as of now, with Hongxin rocketing off the base, I am still feeling indifferent than when I did not make any money. Alexander Elder said, "Take care of your losses and your profits will take care of themselves". What this guru meant was to cut your losses small and ride your profits long. When Genting, Adv Hldg, Ausgrp are not moving the way I anticipated, I was quick to take whatever nett profit I had from them because technically, I was either wrong or early in buying them. When I am right in my trade, I will not be eager to take profit off the table so soon prefering to ride them as far as I can. The ability to ride the profits doesn't mean ignoring risk. Instead, it meant to know what are the risks and how to manage them inorder to ride the trend. To understand the risk, I derive this important information from Technical Analysis. If you haven't notice by now, price always precedes news. Those who are skeptical about Technical Analysis, you only need to look at Labroy Marine today. Is the news really that surprising? Well at least not to the technical traders for we already see something brewing from the charts.
Just another reminder, the last ChartNexus Technical Analysis Course will be held on the 15th & 16th of December 2007. With more than 1 month away, seats are selling fast. If you have always been interested to learn the art of trading, do not miss this last course of the year because, come 2008, the course fees will be adjusted due to the increased in hotel rates.
XPertTrader Screening Result
SSH (GrowMoney Trading System)
LianBeng (GrowMoney Trading System)
Biosensor (Bollinger Breakout)
P.S Running out of trading ideas? Are you confused over what to buy? With XPertTrader, trading opportunities never run dry. Get yours today! www.chartnexus.com
GrowMoney Growth Fund
HLH
Jasper
LC Dev
YangZhiJiang
Jiutian
ChinaHong
ChinaWheel
DISCLAIMER: This is not an inducement to buy or sell. You should do your own analysis on top of my postings.
