Saturday, August 20, 2011

Two Sales

Recently, I sold my full positions in Qingmei and Techcomp.

Qingmei is sold, because reports on buzhida and Qingmei makes me uncomfortable.

Techcomp is sold, because its profits may be dented by the HK listing fees and Europe fiscal woes.

The stock sales incidentally help me to build up a sizeable cash pile, which enables me to buy some stocks (e.g. Eratat) last week.

Given the present market uncertainty, I will buy bit by bit as the prices fall further.

The Psy-Fi Blog has an interesting piece on buying during panics: "investing in falling markets is mentally extremely difficult and requires diligent preparation... the tendency to wait for a better opportunity, which can lead to missing the chance altogether... the time to buy is never right: you don’t buy on the way down, because stocks will be cheaper tomorrow, and you don’t buy on the way up, because you’ve anchored on the lower price."

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