Saturday, March 31, 2007

Take responsibility for your own actions

Regular readers may recall the various entries on GT shares from 2005 to 2006 – ‘Spoiled by the mother’, ‘Hidden Treasure’, and the ‘Do not chase after the horse’ live case studies as the Yi prognostication unfolded. The shares price of GT sky rocketed this week and count as one of the KLSE counters that achieved a new twelve months high – in fact it could be a six years high for GT shares. (Refer to ‘Signs of hope (2)’)

In case you are interested, the GT share price has increased 18 (eighteen) fold from its record low set in 2005. That is what a ‘Super Bull Run’ is all about, if readers do not yet understand the term used since the beginning of 2007.

Readers, especially those from Malaysia, may be surprised. But no friends and kin actually listened to my past hints. They had their mouths wide open and expect to be fed. They had bought various shares based on market tips and rumors with their new found wealth but they have forgotten about GT.

Like others, GT share prices fluctuate in line with market conditions – its share price has gone up in good times and has fallen in bad ones - clearly spelt out this time for those intellectuals who pretend to be thick and look for scapegoats or excuses if they missed the boat or become a stale bull through their own decisions or dithering. If they never bought back any GT shares at lower prices than those sold, why lament now?

In a Bull Run, anything can happen. A wrong decision: to buy or not to buy any shares; to sell shares too early; to hold onto the shares longer than necessary; can cost a lot of money with the benefit of hindsight. It can run into thousands, tens or hundreds of thousands or even millions of ringgit.

Grow up; take responsibility for your own actions. Move on; do not linger in the past, if you happen to miss the boat. No one can ever win all the money sloshing around in a bull market. There will be many opportunities and rounds for trade unless you choose to be a dormant investor. It all depends on your luck and the requisite homework.

A case in point and if it makes those who missed the boat any happier - I have just heard that a tycoon lost 50 million ringgit on his investment in GT shares bought ten years ago at much higher prices and sold most of the shares before this price surge, probably on the ill advice of his stockbroker, kin and friends – those so called ‘ShenXian’! That can be considered greed, fear, and sheer bad luck all rolled into one. Have pity on him even if he can afford the loss. Fifty million is a lot of money to lose on just one share investment. Many Malaysians probably cannot make that kind of money in a lifetime.

It looks like the tycoon chose to believe the so called ‘ShenXian’ rather than the Yi and Daoist immortals. If only he had listened carefully to my Daoist friend who told him about what the Yi and the Xian had indicated years ago and cheerfully waited. But how many people in the world can believe or truly follow the Yi and Tao?

It is high time for friends and kin to take responsibility for their own actions. They have only forgone the opportunity to make more money. They have more than sufficient capital gains made from the GT shares last year. The spoon feeding has stopped. My annual hexagram for 2006 was Hexagram 42 Yi / Increase. It is not the same this year. Therefore, no more mothering for way overgrown kids, it is time for them to stand on their own two feet and to make their own investment decisions.

If readers cannot change with the times, hold on to your investments and ride the expected heavy fluctuations - major ups and downs - in a bull run.

The KLSE is an active market for traders since early 2007, one has indicated just as much, especially for someone like me who has minimal start up capital although it is comparatively more than the RM 20,000 seed capital in 1993. It can be hectic and heart rendering if wrong calls are made and one does not need any more blame thrown in my direction. I need to concentrate to make a fortune and can no longer find the time to plead, argue, and nurture seemingly mature professional accountants to enable them to make much money from the right timing of rises and falls of my stock picks and the stock market. What with decisions which involve hundreds of thousands or millions of ringgit which had to be made within seconds, minutes, or hours – for example similar to those witnessed on February 27 and March 5.

Ah, it really feels good to escape from the playful clutches of fry and shrimps who hang onto the coat-tails for so many years. Within the puddle of water, they can float like a butterfly and sting like a bee! Yes, indeed it was lucky that this dragon has managed to leap out of the puddle and hovers above the field. Hope other fallen dragons can do the same.

Perhaps, another good week like last week for the KLSE will allow the dragon to fly a bit higher. If the Yi and heaven are by any chance listening, a little tailwind is required to double the prices of my investments. Meanwhile keep a look out for more counters reaching new twelve months high this coming week.

If you do not have the dexterity and a strong heart for the expected upheavals in a Bull Run (a battlefield of sorts), it is better that you remain as an impassive investor in the KLSE rather than trade. Any shares will eventually go up in a bull run, it just a matter of timing, foresight and the magnitude.

So far only my late father before he died was the only one who can keep pace with me during the KLSE bull runs of 1993 and 1996. He listened carefully to every word I said and also knows how to trade. We planned strategies almost every night on what to do for the next trading day. He was one of my favorite confidants whenever the Yi speaks of omens and heaven secrets. He read Classical Chinese in school.
When I was in London in the 1970s, he used to call from KL to ask for Yi oracles on investment in properties. He had relied on the oracles and my interpretations each time he invested or divested real properties in Malaysia and Singapore. He made much money from such trades which spanned more than two decades before he passed away in 2002. I missed him dearly even after my three years of mourning. Tomorrow is the time of year – Qing Ming which happens to fall on April 5 - where we will visit his grave.

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