Greedy investors will spoil the market soon.

UKboy · 1 Greedy investors will spoil the market soon. Fri Feb 18, 2011 12:00 am

UKboy

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I’m a new guy to this forum and seen how some people think about stocks. It looks like none of them ready to invest medium or long term. People have extremely high expectations on shares and don’t wanna to know what the company share value was in few months ago. Most expect their portfolio will double in a month.
There are some hidden treasures here n there but generally it’s already overheated. cherry

If I give you some examples. RICH, LOLC, BROWNS, LFIN, CIC, GRAN etc all shot up more than 100% within last few months and still some believes these will appreciate at least another 50% within 2,3 months.. SHOCKING.. Absolutely shocking. Shocked

I’m not surprised to see why foreign funds trying to exit from the market rather entering.
I know that we all are here for money. There’s no doubt or question about that but this is way too much.

I beg you guys please please please don’t make CSE another Bangladeshi stock exchange.

Last edited by Quibit on Fri Feb 18, 2011 11:56 am; edited 1 time in total (Reason for editing : format condensed)

SmartMoney · 2 Re: Greedy investors will spoil the market soon. Fri Feb 18, 2011 12:22 am

SmartMoney

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UKboy wrote: It looks like none of them ready to invest medium or long term.

Exactly, it seems everyone here wanna do at least 1 trade per day Rolling Eyes

, their main concern is trading, not gaining profits ..... Razz

they buy one stock today & they expect it go up the next day or next week , & when it doesn't shoot up they get frustrated & they sell it . When that share really shoots up after some time, they start crying here mentioning the prices they dropped their shares Laughing

, Funny people

Ultimately we all end up making our brokers RICH

mono · 3 Re: Greedy investors will spoil the market soon. Fri Feb 18, 2011 12:38 am

mono

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stocks will shoot up as long as investors think growth in their business can be sustained. And i don't see any evidence to the contrary. The thing is this no matter how greedy people are they can't move stocks up that needs people to invest more capital into the market. a lot of what you are seeing is new investors moving money into the market this money has to go somewhere. And i don't see any foreseeable reason for these people to permanently move money away from the market. Of course there will be retractions and we will see some slowing down because of all these IPO's. As long as the economy is expanding and inflation is in check the ASI can easily cross the 20K in the next 4-5 years.

Besides i see no logic in the argument that say a stock can't appreciate any further sustainably. as long as profits are growing and that growth looks sustainable it can move further. What can't be sustained is these bullshit fantasy stories like those about GREG or PCH to a lesser degree

Antonym · 4 Greedy Investors...? Fri Feb 18, 2011 1:41 am

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@UKboy: Not everybody needs to be in it for the long term; speculators have a role to play too.
My concern is for the newcomers/ small-timers... I hope they don't jump into the fray at these levels and get their fingers burned. To solve this problem, the mutual fund industry in Sri Lanka needs to get its act together.

@SmartMoney: I agree with you... I've checked - My broker HAS made more money than I have. That's the disadvantage of having the power to trade, at my fingertips... It's so tempting to log in and click that damn mouse!

@mono: You're talking about a 25% CAGR for the ASI? I wouldn't be surprised at all...
I also wish share prices reflect their true value... You would know that there are a lot of extremely over-priced AND extremely under-priced shares out there...

shaankh · 5 GRAN Fri Feb 18, 2011 3:41 am

shaankh

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GRAN will further increase since their profit has gone up in latest report.

So today overvalued stock will become undervalued and investers will get attracted.