Beyond useful topics like cost averaging,cut lost strategies,consider also

(a) Be slow to buy because entry price is every thing. Money at hand has a way of pushing you to place order. Take it or leave it YOUR CASH IS KING.

(b) Time is money,be ready to wait as long as possible to buy low. You do not need to place buy order immediately you have funds,waiting for bargain prices can bring gains.

(c) Plan to buy at a price that is far below your thinking,the kind of price YOUR BRAIN CANNOT COMPREHEND. It is far cheaper and less stressful to delay to buy at a good price than to buy and regret thereafter.

(d) If you loose a buying opportunity,wait with your cash intact for the next cycle. The next opportunity will come even if it is not that particular counter. My long wait for equity to levearage (at earlier one bought at 299) at below ksh 200,have brought a buying opportunity in KCB circa ksh 23. Still waiting with cash !!!

(e) Think of leveraging on stocks with heavy weight in your portfolio rather than on a particular counter. Be careful not to introduce fresh money to a losing counter so as not to sink deeper.

(f) You cut loss on a sinking stock,but leverage on a violatile stock. You do not leverage on a counter that you are not 101% sure of a quick rebound.

HAPPY HUNTING



AFRICAN INVESTOR

now you know,no further mistakes

kitkat

Not a lesson but a reminder.
The only investors still seeing green on their accounts currently are those who bought pre-2006 or even better,pre-2003.

www.mjengakenya.blogspot.com

@Jammo,

I totally agree with Mainat.If i bought NMG way back in 1990 at 10 bob,where would loss come from??........The current market goes to say alot about long term.When everybody is in panick,you can sit pretty and wonder what the melee is all about......sounds cynical but it's a fact.Anyone who's been in this market for ten years and has made a loss??......

@Njung'e

I think both Jammo and Mainat are right. their only difference is the word 'only' in Mainat's second sentence.

your NMG example goes and its right coz the dude is still sitting pretty.

However,someone who entered market early this year,bought equity @ 150,sold @340 and hasnt re-entered yet,is still sitting pretty.

Some deals are like glass. Sometimes it's better to leave them broken than try to hurt yourself putting it back together.

I was talking about a sustainable investing strategy. How many of those speculators are still trading regularly today? Those peep who have sold are not in the market. I was referring to investors still at the NSE.

www.mjengakenya.blogspot.com

Jump from a sinking ship and wait for it at the botttom of the ocean,and then board it!

lovely site!

Think fo urself,plan out strategy and never hold your thoughts and beliefs and tenets as Gospel truth. Use them to take you to the next level only. Be adaptible. Break your own rules once in a while for a good cause and good chums.


@ young
(b) Time is money,be ready to wait as long as possible

- You may end up watching one counter while the harvest is on the other counters


c) Plan to buy at a price that is far below your thinking,the kind of price YOUR BRAIN CANNOT COMPREHEND -
That is bearish thinking. Before this storm when the market was a bull,prices were not going tremendously downward. it just so happened that the prices dropped this year from last drop 2002. Does that mean u wud have held your money from then till now?


(f) You cut loss on a sinking stock,but leverage on a violatile stock. You do not leverage on a counter that you are not 101% sure of a quick rebound.
- MY Lesson learned,you are never 50% sure leave alone 101% with stocks. So far no one has explained why cables romped last year,equity busted up then out despite 200% improvement of profit b4 tax. Explain to me why Mumias with a dividend payout of roughly 5%,probably the best this year is dropping like hot bricks down an ice cream tunnel.



To the guys who bought nation at 10/= and chall out,gud on you. But how about a speculator who wud have bought and sold 500 times since then including mumias of 2002/2003,cables,equity,NIC of last year and all the other crazy shares in between ? He may be down a little red right now but living in a phat crib with a phat ride and a fat wife



while guys are holding on with fists clenched white with a never sell attitude,others got out of safaricom at 5.50 and are now back in at 4 bob.



Hind sight seems to make us think we can now see the future better!



The one thing I have learnt best from Robert kiyosaki is listen to advice but THINK FOR UR SELF!

@worrenipafeti

Everoyne think beariish in terms of entry price to buy a counter SO AS TO BUY AT THE DOWN SWING IE THE CHEAPEST POSSIBLE PRICE.

Look at it this way will YOU feel good to buy wonderful counter A today at 100 bob and four days after it is 80 bob,notwitstanding the promising fundamentals ?

KCB is a handy example. 23 Bob on mon 13th Oct was good enough but by holding my cash it is gettig towards 20 bob and below on Fri 17th oct . Is KCB not a good stock ? This same cash was ready since early sept when KCB was 27 bob but see now ??? i WAS ACTUALLY WAITING FOR EQUITY THEN OPPORTUNITY FOR KCB BECKONS. THAT IS THE BEAUTY OF WAITING.





AFRICAN INVESTOR

http://www.conceptadviso...s.co.ke/investments.php

stocksmaster! am back!