SMU E.y.E - Others   

A World Without Buffett

that is interesting. I have played poker before and I do quite like the game. Win some money from it too. Yup, No emotions in any trade. Just straight face. Look at the other players and how they react.

It is the same in the stock market. Look around the market conditions and the same realisation dawns upon me. Bad market. No good to trade. Pass.

thanks

 

There is some relevance and practical skills to pick up from playing poker.

 

I do agree with some that we must never trade with borrowed money. You need to be discipline in your trading habits. Habits are formed from years of trading by following a particular pattern that it has become 2nd nature to you. It is called Knowing Competencies. That is part of you.

I never believe in leveraging to increase your profit. It goes both ways. Profit from it but lose a lot more if you got it wrong. There is nothing by playing it correctly. Many a times I have told myself if I only I got it right, but the emotionally aspect of trading affects my trading. Sometimes emotion overrides logically analysis when it comes to real money.

If you want to succeed to earn $5K a month, you can also do it part time for the next couple of years. Learn while you are still working. There is something call program trading that you can set for each of your trade. No fuss....

Good luck trading in this market. It is a challenge to second guess the market.
 

 

Most people will go through the learning stage and have to "school fee", just like when one starts to learn mahjong!

The portion about earning 4-5k per month does not look realistic for a beginner. Control of emotions takes times to built.

 

 

Hi TheWz, I'm sure you already knew that there's no such a thing as sure-win in the Stock Market. Therefore, losing in trades is also part of the game. You'll never learn how to win if you don't lose. Remember, always trade with your own money that you can well-afford to lose and never, never involve any members of your family. Last of all, don't trust your luck too far. Luck are for the game of chance not the Stock Market! Welcome to the world 'Fun' ! And may the Forces be with you! Cheers!

 

 

The story is always the same...  ...

People go into the stock market without the least preparation.

That is the biggest mistake. 


Safe stock market participation require a lot of preparation and education.

I suggest getting a good stock market guidance package (click to see), which I also bought quite a long time ago...

It helped me a lot at that time, when I was still green and losing money by simply "whacking" on stocks that I liked...

 

Traders are juz like punters. I term traders as punters with calculated risk and analysis in their bets whereas hardcore punters use luck and rumors in their bets. None are in it for the long term :)

Of cuz you could argue investors are also punters correct? Yes you are correct also as definition of terminology differs from ppl to ppl. The difference I could see that separate investors from others is their holding period are much longer and they pay all their shares up in full cash. No borrowed monies.

As for full time traders earning a rice bowl in Spore, it is hard juz like housing and insurance agents. Earn sufficiently to feed own family but as to reach super millionaire status is for the minority. If it is for the majority then most ppl would gladly trade their full time job to be full time trader to achieve their millionaire dream :) 

 TheWizard: I hope to see more of how you are doing as full time traders 2-3 years down the road. Hope you have achieved your targetted 5K per month salary based on full time trading. I await your good news :)
 

 

Hi all,

Thanks for all the useful advices. I agree that some of us here are punters while some are traders/investors. considering what singaporegal has said, to earn a substantial 5k per month, my capital has to be ard 100k. This is where the leverage comes in. although it's risky, if played carefully, it can be a great tool to help me reach my targetted goal.

Any more advices ?

 

I believe in being realistic and practical. While it is good to learn from the big time gurus, we must also keep in mind our own personal circumstances -

(1) Risk tolerance

(2) Financial situation (Job, debts, loans etc..)


(3) Discipline/Character

(4) Family support

(5) Luck 

All these factors must work together for one to be highly successful in the market.

 

I agree with your post Singaporegal. There are certainly many people who treat the stock market like a casino and there are a few who acutally informed speculators and investors. Many people think speculation is bad, but, there is a big difference between educated and uneducated speculation. Many traders like Paul Tudor Jones, Julian Robertson and George Soros have made millions speculating. With reference of trading for a living and how much you can earn from the markets to sustain you needs a month. They are very few people who can do that and it has nothing to do with ones skill or intellect. Trading is an emotional game where psychology plays a big part in the markets. For some people, even professional traders who left their professional jobs as successful traders to strike it out on their own have failed due to the stress and pressue to be consistantly successful. Don't forget, although Soros and co have made billions speculating, they all drew salaries ;)

 

Hi TheWizard,

I think you cannot generalize and say that most people here at SJ think the stock market is a casino. There are many good FA and TA people here who have been investing/trading for many many years.


For your goal of $4K a month on trading, it is not impossible but consider this - I think that an exceptionally good TA trader makes around 5% profit a month. To achieve your goal of $5K profit a month, you would need capital of more than $100k. Most people will not have that amount to money to start with so many people trade part-time.

 

Hi all,

I know that for most of you, you have considered the stock market to be a gambling casino, where every win is a big win. For me, my goal as a full time trader is not to earn hundreds of thousands each mth ( although that would be good ) but to earn substantial income every month like 4k-5k. It's an acceptable goal cause what I'm looking for is passion and the freedom to work anywhere without having to see the bosses' face or customers' attitude. Imagine going online using a 3G modem and laptop and workin on the bus, beach or even at star bucks. This is what I prefer as a working life ~

 

Cheers
 

 

eat grass healthy leh!  he he ....

 

possible to trade in bad markets. cos even if the general market is bad, there are still individual stocks that will move. plus, there's always CFD, or put warrants.

traders make their money via volatility. so as long as there's volatility, there'll always be money to be made.

perhaps where people lose, is where their grasp exceeds their ability. ie, let's just reach for what is within reach, rather than asking for the sky, sun, moon. key 'indicator': if you need to pray to God(s) for your stocks to go up, then, you're in above your head already.

haha.

:P no offence to anyone ah...

 

In a bad market, how to do trading for a living? look at 1997, 2004 SARS period..... you will have no income for such a long time. Even being a stock broker, they got to eat grass in bad years. :)

 

Master Sporeguy, Sir... :)


You got the point there!...

Too many people want to trade the stock market for a living!  

But they might as well work at an Integrated Resort (as an employee).

The stock market, by virtue of it's very speculative and unpredictable nature, is no better than a casino to make a living (unless you are a remisier)! ...

 

During the last phase of the "market cheonging time", many pennies simply do the "cheong" because their time is due for them to "cheong"...

At this time, when so many of the pennies are already back or close to their previous doldrums, can one realistically expect these same pennies to do the "cheong" thing simply because they were high not so long ago?

I mean,  they may have to wait for  another time or market phase when they are "due to cheong" before they will do so...

 

Hi TheWizard,

Good luck to you! Keep us posted on your developments. It is rare to find someone who knows what they want in life. I'm sure you'll do well.

 

20 yrs ago, my cousin who is trained as engineer had only work as engineer for only have a yr. He declared that he wanted to be a millionaire by the age of 30. He becomes a full time stock trader. Married a teacher. He even have a licence to be a broker. Till today he is neither very rich nor very poor. Just like most of the graduates. So Wizard, it is not so simple, otherwise the street is full of very rich ppl and very poor ppl---approx zero sum effect.