How to play market pullbacks!

VALUEPICK · 1 How to play market pullbacks! Fri Aug 15, 2014 2:21 pm

VALUEPICK

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Global stock markets have been going up slowly since late 2009. There were so many market pullbacks. Those pullbacks created opportunity for intelligent investors. What about pullbacks in the CSE. Did you experience this in the past?

Lalindra · 2 Re: How to play market pullbacks! Fri Aug 15, 2014 2:57 pm

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After 1987 the best period was the latter part of 2009 and 2010 immediately after the war ended. Then the market manipulators stepped in and messed up the market and the new investors who were just entering the market were just wiped out overnight. The worst was in 2012 and 2013 for many new investors. We are just seeing consolidation and the market is stabilizing. Investors are more matured and invest with better care. They should be able to reap the befits of the market pullbacks better now than before.

VALUEPICK · 3 Re: How to play market pullbacks! Thu Sep 04, 2014 2:47 pm

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It is good to have some pullbacks and pause in stocks time to time. It is healthy for the market. Otherwise market will become too hot.

dougieboy · 4 Re: How to play market pullbacks! Thu Sep 04, 2014 2:51 pm

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Agreed.

Roboticfx · 5 Re: How to play market pullbacks! Thu Sep 04, 2014 3:01 pm

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By keep your eyes opened wide, you can catch several opportunities although during a pullback remains only few days.

I learnt several gold lessons from pullback in 2012 and still got stuck with some counters. Crying or Very sad

They have not recovered until my expected levels. But it taught me how to lower the risk and its importance than following behind instant profits.

Lalindra · 6 Re: How to play market pullbacks! Thu Sep 04, 2014 3:32 pm

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Roboticfx wrote:By keep your eyes opened wide, you can catch several opportunities although during a pullback remains only few days.

I learnt several gold lessons from pullback in 2012 and still got stuck with some counters. They have not recovered until my expected levels. But it taught me how to lower the risk and its importance than following behind instant profits.

You're not alone there Robotcfx. I also still have in my portfolio some stocks bought around 2011/12 without giving thought to P/E and only on speculation. I'm to still recover my investment cost. We all learn the hardway, don't we?

SHARK aka TAH · 7 Re: How to play market pullbacks! Thu Sep 04, 2014 3:52 pm

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Lalindra wrote:

Roboticfx wrote:By keep your eyes opened wide, you can catch several opportunities although during a pullback remains only few days.

I learnt several gold lessons from pullback in 2012 and still got stuck with some counters. They have not recovered until my expected levels. But it taught me how to lower the risk and its importance than following behind instant profits.

You're not alone there Robotcfx. I also still have in my portfolio some stocks bought around 2011/12 without giving thought to P/E and only on speculation. I'm to still recover my investment cost. We all learn the hardway, don't we?

Dear lali,
sorry to note the losses.... the important thing was that we learnt hard way and vowed not to make rash decisions again. Very Happy

It would be a weakness on our part if we continue to make same mistakes again...

Shark

Roboticfx · 8 Re: How to play market pullbacks! Thu Sep 04, 2014 4:00 pm

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SHARK wrote:

Lalindra wrote:

Roboticfx wrote:By keep your eyes opened wide, you can catch several opportunities although during a pullback remains only few days.

I learnt several gold lessons from pullback in 2012 and still got stuck with some counters. They have not recovered until my expected levels. But it taught me how to lower the risk and its importance than following behind instant profits.

You're not alone there Robotcfx. I also still have in my portfolio some stocks bought around 2011/12 without giving thought to P/E and only on speculation. I'm to still recover my investment cost. We all learn the hardway, don't we?

Dear lali,
sorry to note the losses.... the important thing was that we learnt hard way and vowed not to make rash decisions again.

It would be a weakness on our part if we continue to make same mistakes again...

Shark

Yes We Do Lalindra. There is no any investor who has never done any mistake. Actually, I didn't have much knowledge in financial side when I entered first but I could learn them quickly.

Shark, your advice is much worthy. and I'm following it. Thank you.

VALUEPICK · 9 Re: How to play market pullbacks! Thu Sep 04, 2014 4:12 pm

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Every business has risk and returns. It is same in the stock market. What I learnt was we cannot make profits all the time. So we should have risk management in our life and the things that we are going to deal with. Everybody may have some sort of judgment of errors. So they make mistakes. So I would like to stay with value investment in the future to minimize risk and losses. When market P/E expand I will go behind the some of the lowest P/E sectors and companies which are having some great value and which are not going to bankrupt during next 10 to 20 years. At least there should be some demand for their products and services. Good luck!

Lalindra · 10 Re: How to play market pullbacks! Thu Sep 04, 2014 4:34 pm

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Thank you Roboticfx and Thank you Shark. Appreciate your valuable input too Valuepick. It's said,
"You can't make the same mistake twice. The second time you make it, it's no longer a mistake, it's a choice."