Well most would have thought that last week was the beginning of the correction in the market. Unfortunately the market has some steam going into the first week of the new year and we didn't actually receive the signal that we were in a market downturn until Friday. With that said, the next question is when to get back in?
I would rather you take a breather before you ask that question and ask yourself these questions:
What is the last investment book I have read to get me better prepared to profit the next go around?
How do I feel emotionally and physically when I am active in the market? I am reading a series of books right now by Ari Kiev who is a master of the psychology of traders in the market. In the coming weeks I will do a series of reviews on the concepts found in his books, until then I would recommend reading up on the stuff.
How is my watch list looking for the next bull market? As you know I am a big fan of FSLR (+95% since recommendation) and even though the market is correcting I like this sector and have added SPWR and WFR to my watch list. All this means is I am arming myself with solid fundamental companies that if the market turns I find the strongest of my list and invest in them.
Finally, have I reviewed my last trades to see where I was right and wrong? I might have been really right in FSLR, but I was wrong on SINA, and BCSI. Why? Looking back, I wasn't looking at the latest earnings hard enough and technically they were extended. I only realized this by doing a post mortem.
Monday, January 7, 2008
Subscribe to:
Post Comments (Atom)
1 comments:
Post more often!
I like your blog but you are too slow :D
I picked up reminiscence of a stock operator because of you it's a very good read.
Post a Comment