Sorry I dont think big caps will stabilise in the short term. You are too optimistic if you think mid and small caps will be next to go up. I think the other way will happen and big cap will fall again, causing sti to drop to 2500 before any rebound.
I think most of blue chips are over value.
STI market is a funny market, most of investors buy only 30 component chips.
NOL is more funny ones, it has large loss these 2 years, but price is quite high. this is just an example.
most of other component chips are much more over-estimated value.
but for third line chips , most of them are under NAV.
Funny STI market!
Holding time horizon?
yummygd ( Date: 10-Jul-2010 11:45) Posted:
|
hulumas ur jishan is doing well hor as u predicted. whats ur tp for that??
Hulumas ( Date: 09-Jul-2010 09:35) Posted:
|
Those are why.................. I keep buying 3rd liner stocks and penny stocks!
Peg_li ( Date: 08-Jul-2010 22:09) Posted:
|
Good comment just make use of it!
samloh28 ( Date: 08-Jul-2010 22:20) Posted:
|
The secret is to buy them at floor level and lock them up...
But the question is what is that floor level...
Since as it goes to a lower floor level (like in a downtrend),
the percentage loss increases exponentially...

Very good reminder. Trading with small cap definitely need patience. Success is in your hand if you excercise discipline and a clear mind.
If we look at the previous 20 years' history of stocks, normally in bull run, the big caps will cheong first. Why? Because the Big Boys will buy up the big caps to boost their holdings. They only need to buy small amount of stocks and the value of their portfolio will increase significantly. Big Boys will normally buy the mid-cap and small cap stocks thereafter. If we look at the trend carefully, the big caps will go up first. Thereafter, it will stabilise and the mid-cap will go up followed by the small cap. This is the trend. If we want to make big gains on mid to small cap stocks, we must have the patience. And when mid and small caps go up, the chances are their % gain will be higher than the % gain of the big caps.
Also, the STI tend to follow DOW Jones closely co-related in the past 25 years or so. So, if DOW Jones hit their peak and continue with the bull run, so will STI. Just need to be patience. Look for the uptrend, which appears to be the case now. Big Boys are coming back after sleeping during the World Cup. Good luck to all investors out there.
which one u referring to?
Peg_li ( Date: 08-Jul-2010 22:09) Posted:
|
Most of mid-small chips still in the shit.
STI almost 2900, but those mid-small chips look like no sign to recover from bottom.
the prices is almost similar STI at 1800.
what a poor market!