Market update. The Dow, Europe, Hang Seng, have fallen by a fair bit now. It was bound to happen sooner or later. I have no strong opinion either way. I didn't short the market nor do I have any positions (meaning I am currently not holding any stocks). So I'm lucky in that sense. But its not making me any money, at least I got that part of investing right ;)
I was fortunate to sell some of the buggers a few days ago. Didn't make a helluva lot - Didn't sell during the morning rally, sold when it dipped.
Volatile volatile. Hmmm... ah ho-hum. Still feel sore that I got bumped on Ausgroup and Swiber many weeks ago. Sold them at 86 and 1.80. Look at them now.
I shouldn't have been so kan chong when that double top in China developed. I forgot that the panic really sets in after the double top formation not during its creation.
I just recalled that during that phase- back in 2000 - I was trading in FiberTel and TLO - Aussie stocks. Both of them doubled in value during that DT formation (Nasdaq). They only fell sharply after the completion of the DT formation.
But for me, I remember acutely the rout on the stockmarket - after the DT - during that horrible April month. I had positions that I couldn't close because there was no liquidity- no buyers. Stocks simply plunged by 20 - 40% in a few days. And just when things seemed ok - then came 9/11...
You need experience, sound advice or just plain dumb luck to make money in this market. You can build on the former- but don't trust on the latter.