Category: Money tips Release Date: 2006-08-16
Cai same investors into the stock market in January 1996, the stock market investors have said the former heard a lot of the old stock market risk and unpredictable, as well as people say that the stock market is: "Seven losses 2 Heiichi make." But the Lao Chai into the stock market after the stock market are fundamentally no sense, what a great big risk, the market less than two years, the Lao Chai has become well known on the stock market "experts", because investment in Lao Chai benefits really good, people ask what stocks trick Lao Chai, the Lao Chai has always laughed off the question. Privately Lao Chai for their friends and relatives, said: "What is difficult to stocks, the broader market fell every time, all bargain-hunting opportunities; to buy in. As long as you cover their shares of the future will be able to make big money; trap a firm should not flesh, sooner or later could be some sort of relief and earn a profit. "
As from 1996 to mid-2001, the stock market has always been run on a large upward trend channel in 1996 for each subsequent round of bull-market peak bit will be followed by a new round of Quotes refresh, the index has risen from 512 points 2245 points. Therefore, Lao Chai this hand "buy the dips, cover their shares, not flesh" investment tactics really suited to the prevailing market conditions, Lao Chai and therefore repeated in the stock market on fighting and win.
However, after 2001 come with a real bear market, the market situation has undergone a fundamental change in Lao Chai found that previous experience of the successful old has become increasingly no longer applies. May 2001 Lao Chai Bird bought 600.13 thousand shares of stocks in the year in June to form at the top, it begins to fall Zhu Bo. Initially, the performance is very tenacious Bird shares the broader market fell over 100 points, the waveguide can be contrarian even higher. Ordinarily then Lao Chai profit-taking is not a problem, but the Lao Chai thought: "In the past of the stock market, as long as the general trend turn for the better, defensive stocks are not always among the biggest gainers, Yao? This time I was a bar and so on. "and therefore did not hurry to sell. Surprisingly, Bird shares by the end of July for 7 consecutive days diving in the plunge by 24%, Lao Chai because it is full of storage operations, suddenly was stuck across the board. The next two months, Ningbo Bird has its own unique defensive performance in the broader market fell 200 points, the Unit increased rather than decreased up. Lao Chai then finally realize that they may be currently facing a real bear market, while the resilience of the stock will appear in the bear market is often Budie Quotes. Therefore, Lao Chai and timely changes in investment philosophy, to give up the original "no flesh" of the operating principles, decisive in the price of 24 yuan will stop selling waveguide.
Sure enough, after Bird shares diving along with the broader market, until October 23, 2001 announcement to suspend reduction of state-owned shares positive, Lao Chai day to 18.98 yuan chasing a high limit-buy waveguide. The next day, Lao Chai found that the vast majority of stocks and the broad market began to weaken significantly, but the Bird of shares is a strong trend in the afternoon shortly after opening, Bird shares once again limit-Lao Chai is not it confusing, or act decisively to limit-price by 20.90 Yuan sold. Later, Bird can not hold shares as expected, falling down. When fallen more than 18 yuan, the Lao Chai in turn buy back stock, and so has another of 2 yuan, no matter how strong stock performance, are determined to sell. From that point on, Lao Chai followed suit, when Bird shares fell off 2 to 3 yuan, Lao Chai to buy back shares go up whenever the Bird 2 yuan, Lao Chai would it sold, and later, Lao Chai operate eight round-trip times, not only made up for all his losses, but also to make its own funds in a bear market more than 60% in value.
Lao Chai said, summing up his experience: "When the bear came Quotes, be sure to change investment concepts, Do not take the bull market apply the successful experience of the bear market years, otherwise, would a loss. Moreover, if the loss of too much, and forget about the once Fan Ben, like a folding chopsticks, as if to give you allow you to break one chopstick, of course, is not easy, but if a root is very easy to fold. "Lao Chai is through changes in investment philosophy, repeatedly investment strategy to use-band operation, and gradually reduce the position costs, and ultimately to achieve profitability goals.
