Investment Strategies 02 (Jun 10 - Jun 13)

[winston]

TOL:-

Now that the bulls are starting to become vocal again, what would you be doing ?

1) Would you be selling into the strength, knowing that Window Dressing, Money from a New Month and QE2 is on your tail-wind ?

2) Trying to chase because you were under-weighted ?

3) Hoping to buy on the dip ?

4) Doing nothing because you are like the deer staring into the light, not knowing whether it's a train coming at you or whether it's light at the end of the tunnel

Personally, my views have not change. Valuation is still High, Sentiment is Confused ( or is it me only ? ) and perceived Liquidity is high ( although real Liquidity is decreasing from a few weeks ago ).

[iam802]

Here's my simple reading (guess??) for the month.

/ES (or SPX) will break 1225 by Dec 17, 2010.

[winston]

Need to remind myself to reduce my exposure to China as I dont know how to invest in a country that dont not follow market economics, not to mention the corporate governance issues, that popped up here and there.

[Poles]

i guess i am done for the year.......

[Aspellian]

Capricon effect anyone?

[kennynah]

people are already getting into the holiday/xmas mood.....

enjoy

[winston]

Four Superpowers Every Portfolio Needs by Carl Delfeld
Thursday, December 9, 2010: Issue #1404


But what kind of investor are you?

It’s important that you’re aware of your personality and temperament when it comes to crafting your investment strategy. That’s because you can use it to profit and protect yourself much more effectively.

Of course, it would be nice if there was a foolproof service that matched up investors’ portfolios with their personality traits.

There isn’t – but I’ve got the next best thing. Here’s how you can better align the two – and ensure that your portfolio includes these four superpowers…

#1: Dial “D” for Diversification

Legendary value investor Sir John Templeton nailed it on the head with this sage advice: “Diversify. In stocks and bonds, as in much else, there’s safety in numbers.”


#2: Employ the “Core/Explore” Strategy

One way to prevent being too conservative or adding too many risky investments is to balance out your approach with a “core/explore” portfolio strategy.

The premise is simple: Just determine what proportion of your assets you primarily want to allocate towards more protective investments and put this into a conservative, well-diversified, “core” portfolio. It should have plenty of fixed-income investments and cash, plus a good balance of global equities and precious metals.


#3: Use Trailing-Stops

Nothing is more painful than picking a great stock and watching it peak… only to see it fall back to earth again. But it’s easy to avoid riding this rollercoaster.

A trailing-stop strategy automatically gets you out of a stock if it drops by a certain percentage. It mitigates a loss, protects your hard-earned gains and stops emotions from cluttering up decision to sell.


#4: Become the Quality Control Manager Over Your Foreign Investments

If you’re only taking a U.S.-based approach to investing, you need to branch out and grab some foreign exposure, too. The good news is that there’s much more research and information available today than there was not so long ago.


But if you employ these four ideas in your investing strategy, then there’s a good chance that you and your portfolio will match up much better.

http://www.investmentu.com/2010/Decembe ... needs.html

[winston]

Getting Rich Investing… No Special Skills Required By Dr. Steve Sjuggerud

Want to get rich investing?

Today, I'll show you how I've succeeded… The great thing about what I do is you can do it too. No special skills are required.

You don't need to be a math or computer whiz. You don't need to spend all your waking hours watching stock quotes on your computer or CNBC.

All you need is patience, guts, some money to start, and two rules…

I've spent my career studying the financial markets starting in the early 1990s… crunching the numbers in every possible way. I've gone as far as possible with my education, I've run research departments, managed funds, and traveled the world looking at investment ideas. But now that I've done all that, I can tell you that you don't need all that stuff.

You just need to know two simple things:

1. You want to buy when everyone is terrified, but things aren't as bad as they think.

2. You want to sell (or at least get ready to sell) when everyone is optimistic.

(To reduce your risk even more, you want to wait for the uptrend.)

That's it. Extremely simple. No complicated math required. Of course, I do number crunching to help me pinpoint exactly when we're seeing these things. But you don't NEED to.

It's obvious when everyone is terrified or when everyone is optimistic and feeling greedy… You don't need a computer to tell you. And you can see a clear uptrend on a chart with your eyeballs – no number-crunching required.

Back in March 2009, we had the perfect buy setup. Everyone was terrified. But things couldn't possibly have been as bad as everyone thought.

The stock market bottomed on March 9, 2009. And on March 20, after seeing the start of an uptrend, I said buy. The headline of my March 20 DailyWealth was "A Dramatic Turn for the Better, Time to Buy Stocks."

The opportunity was as good as it gets. For the only time in my life, I actually personally borrowed money (through a home equity line) to buy stocks.

Stocks are up 93% since bottoming on March 9 (as measured by the total return on the S&P 500 Index). If you took on a little more risk (as I did, buying things like an India hedge fund), you did much better.

After that run-up – which has been nearly straight up – investors are now more complacent than I've ever seen. The only comparison I can remember is the dot-com days back in late 1999-2000 – and you remember what happened next. So based on No. 2 above, you don't want to aggressively buy stocks now.

(Don't forget No. 1 either… Back in March 2009, people thought things were terrible. The truth was things were getting less bad. Today, we're in the opposite situation. Investors now think things are getting better and going to be fine… I'm not so optimistic.)

In short, I've made my biggest gains when investors are terrified and things are stealthily getting less bad. That's the recipe for big gains.

We're in the opposite situation today. Trade accordingly.


Source: Daily Wealth

[kennynah]

talk is easy.....

[HengHeng]

flip coin lor. go kopi tiam look for market uncles talking about stocks, what they buy are typical losers