Category: Money tips Release Date: 2006-06-26
Luh cheng-chi graduated from the University Department of Finance, the time at school is very concerned about the stock market thing, but had no opportunity to enter the market speculation, until in January 2002 finally got what they wanted. The purpose of the stock market when he was two words: bargain-hunting. In 1400 he was near to buy a few stocks, such as when the broader market rose to around 1,500 points, one after another to sell, although the small profit, but after all, won the first battle, which gave him great confidence. Since then, he carefully read books and newspapers, continue to examine laws of the market, the more speculation more smoothly, in the stock market make a lot of "silver." Through practice, he gradually worked out a set of rules Ruoshi stocks.
In the operation, he is rarely as low as possible to buy chase, even chase, holding no more than three days. Commonly used band operation, there is a profit left. Every time the market's rise is treated as an opportunity to sell, if the broader market down, then firmly closed to wait until the fall to stop before buying stock picking. If you accidentally be caught, luh cheng-chi neither smoothing nor waiting for some sort of relief, but simply to cut the Gordian knot, stop out.
From 2001 to mid-2005, the stock market has always been run in shock downward trend, since 2001 a Quote at the bottom of each will be followed by Quotes fallen through, the index has fallen from 2245 points, 998 points. Many investors to heavy losses, but luh cheng-chi, a loss not only failed, but also harvest every year.
From the second half of 2005, with the advent of the real turning point of the year, the market situation has undergone fundamental changes. Luh cheng-chi, also found that the previous experience of the successful old has become increasingly no longer applies. In April 2005, luh cheng-chi 5.73 yuan to buy Hongdu Aviation, followed by the more than three months time, Hongdu Aviation in the 5.80 to 6.20 yuan fluctuate repeatedly between, luh cheng-chi, band operation in which the back and forth, repeatedly making difference. In mid-August when the stock suddenly rose to more than 7 yuan, and the formation of a small arc top. He sold the stocks at 7.04 yuan, a calculating earnings per share more than 1 yuan. Quite happy in his mind, and feel that this difference of profits is not bad.
However, a few days time, Hongdu Aviation has started to rise, the stock prices and even saw 10 per hour. Which he did not regret that this is nothing but raised the kinds of shipping savvy. But then, he traded a few stocks have suffered such a situation, all "pick of the sesame seeds, foolish." Luh cheng-chi, aware of their own had made a mistake, and realized he was now facing a real bull market, and rose high in a bull market will sell stocks to buy low and those who do not move the stock up is obviously erroneous. Because the stock will be more able to rise up higher than the stock does not know up until when it started. Before the set of "buy low and do not chase the" investment philosophy have become obsolete.
Wake up luh cheng-chi decision to change the investment outlook and change the past, that a passive investment in favor of using an active investment strategy. For stock picking, luh cheng-chi, that "from where it fell, it is necessary to get up from where," When we chose the Hongdu their eyes on stock air is because the monopoly of themes and in the field of general aviation development prospects of the stock since it is a good , it should not pass up. In April of this year, the Unit, after their annual reports, he price of 13.10 yuan to eat a "back to grass." Shares faithful surprised: "the stock from 4.3 yuan to the beginning of 2005 now, the stock has risen twice as much, how can you dare to buy?" Luh cheng-chi, the answer is: "In the past it does not matter how much it up, it is important that it Does the future still up. as long as the upward trend has not changed, and when can buy. "Sure enough, by the end of April to start again Hongdu Aviation strong bull market, as of week 5, the stock has been on the 30 yuan.
Luh cheng-chi philosophy because of changes in a timely manner, and finally beat the bull market. (Hong Fan)
