Wanna 2 know what is xxxx ? bot on 6/4/2011 ? within 3 days up 8% liaoo ( see d attachment ) ..do I need tak ada akal 2 times my entry ? ha ha after MEGB @ 1.79, this bugger xxxx shld be d next one ^_- will blog up here after she rose > 20% from my cost, stay tune yah ?
2 all, I am not d first one whose criticize ta ( tak ada akal method ) even d great warren buffet also said d same, read this >
http://www.epinions.com/finc-review-1935-D65AB19-38EAE41E-prod2
read rule no 2 >
Warren Buffet's strategy on technical analysis
Apr 05 '00
After much research and experience in investing I've discovered a simple strategy which works very well for profitable investing. It's a composite of Charles Schwab's and Warren Buffet's strategy. As you may know, Warren Buffet started with a little investment decades ago and now he's the third richest man in the world with over $30,000,000,000 in stock in the company he built. Charles Schwab is the genius who began the most successful off-price brokerage in the world. Here's what they say about investing and technical analysis:
Rule number one: Buy a company you'd be willing to hold for a lifetime.
When you put your money in a stock, you become an owner of that firm. You're essentially buying part of it and you reap the profit from the shares you buy in terms of earnings per share. Then the company may pay out those earnings per share in dividends or invest back into the company for growth. Make sure that you're buying a firm that you can depend on, even when the market is down. Investing isn't about the quick in-and-out schemes that lose most day-traders money. That's called gambling. Investing is putting your trust and your resources into a firm which you're willing to commit your hard-earned money to. This leads to my next point.
Rule number two: Ignore technical analysis.
Technical analysis is used to predict whether or not a stock will go up or down in the short term. Some people think that they can ignore the fundamentals of the companies they buy based on technical analysis and end up losing large amounts of money. Yet, no responsible financial advisor would recommend or practice buying based solely or largely on technical analysis. That practice is used for what I defined to be gambling. Essentially relying on technical analysis involves looking at the volume of trading, advances/declines in the share price, and trying to determine whether or not the price will continue upward or reverse. For example, a lot of people buy or sell based on momentum. They jump on the bandwagon or abandon ship with the rest of the crowd. Yet, these fluctuations based on the herd mentality do less for those playing on technical analysis and more for the investor who looks for good value in shares. For, often people selling on technical analysis overshoot and cause a stock's value to be worth less than its fair value. Thanks to people who get burned on these losses, investors find unique opportunities to snatch up great comanies at bargain-basement prices.
***
Technical analysis is a simple yet compelling strategy. You can see why Buffett spent years early in his career trying to master it.
An expensive mistake
But Buffett discovered one small problem. Technical analysis didn't work. He explained, "I realized that technical analysis didn't work when I turned the chart upside down and didn't get a different answer."
After eight years of trying, he concluded that it was the wrong way to invest. Then he focused on the teachings of Ben Graham, which stressed business fundamentals, finding a strategy that both made sense and, more importantly, worked.
Three simple rules
The billionaire discussed that strategy at the 2008 Berkshire Hathaway (NYSE: BRK-B) general meeting. When he was asked how to avoid the crowd mind-set, he said he simply followed Graham's three most important lessons:
1. Buy stocks with a margin of safety.
2. A stock is part of a business.
3. The market is there to serve you, not instruct you.
***
So how now ta losers ? am I d only one whose said ta is tak ada akal method ?
wake up wake up ! never too late 2 know ta = tak ada akal method / rubbish !
LOL , Jgn marah yah !? ^_-
No comments:
Post a Comment