Tuesday, May 17, 2005

Arrogant Dragon has cause to repent

1 Qian / The Creative, Heaven from experience is a favorable hexagram to receive for investments. However it also depends on what the Yi wants to tell the diviner on a particular investment. The public listed company (PLC) one intended to invest in has just signed an agreement to merge with a vast timber concession holder from a neighboring country with great potential profits for both parties. The heads of government were there to witness the signing among other contracts between the two countries.

The answer from the Yi was Qian with a changing top line which changed the hexagram to 43 Breakthrough. The judgment of Qian says: “The Creative works sublime success, furthering through perseverance.” But the top line carries a stern warning: “Arrogant dragon will have cause to repent.” [W/B]

Therefore one desisted in investing in the stock although one had made substantial gains from it the previous year. At the time of asking the question the stock was quoted at 805.

After the signing, the PLC submitted an application to obtain governmental approval for the merger. There was a delay, later the application was rejected. (Apparently the owner of the PLC had been very arrogant and dealt with the officials handling the application in a high handed manner; probably thinking that the deal had been blessed by the Prime Minister who witnessed the signing ceremony.) A few years later just before the Asian financial crisis in 1997 the stock was hovering at 500. The stock fell to 10 thereafter and was subsequently delisted by the Stock Exchange in 2003. Indeed the words “Arrogant dragon will have cause to repent” contain much wisdom.

Do note that one has to do much homework on a potential investment before asking the Yi. Do not go overboard when you receive a favorable answer and forget what the ancients advised- always ponder on the prognostication. Also take note that Qian represents the fourth lunar month (falling in May-June) and not the fifth month as some Yi students may like to think.

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