Getting back into the Market

[insider]

Hey guys I use to post here often and invest, however nowadays I seem to be too scared and cautious about entering the market. After all we have just gone through a huge correction which may or may not continue... I have seen many many recent opportunities go by and all I can think is "damn it". Is there any advice on this anyone can give somebody in this situation?

 

[prawn_86]

Im sure Kennas can give you some advice on this matter...

Seriously though, I think its all about trusting your plan or decisons. I held all my stocks during the crash, which in hindsight was a terrible decison and wiped a lot of worth off my portfolio, however it taught me that small stocks will never go against a large overall trend, so i have implemented some strategies to prevent losses like that happening again.

I have bought 2 stocks since the 'crash' and i am 100% convinced they are suited to my goals and timeframe, however i still monitor them for any changes obviously.

Its all about having faith in your decisons imo. How you get that? I dunno? Perhaps start small again?

 

[ROE]

Hey guys I use to post here often and invest, however nowadays I seem to be too scared and cautious about entering the market. After all we have just gone through a huge correction which may or may not continue... I have seen many many recent opportunities go by and all I can think is "damn it". Is there any advice on this anyone can give somebody in this situation?

If you are an investors, you should be glad you are in a bear market
I was never nervous as a buyer when the market goes lower and lower, give me more opportunity to buy great business at bargain price...Only speculators care about the price of stock going up..as an investors i want the stock I buy hit bankruptcy price...

as of Jan 2009 I'm 100% in the market, my saving, my cash reserve the whole lot what ever money I could find...I Now got more money from dividends and some position I sold out at reasonable profit...I'm ready to pound again when a certain stock on my list reach my target price...

I'm a target and concentrated buyer I don't hold more than 15-20 stocks in my portfolio, I only need to know the stock I'm interest in, the rest can go their merry way ....even if I have 100 Million that will not change for more than 15-20 stocks either....

 

[Julia]

Hey guys I use to post here often and invest, however nowadays I seem to be too scared and cautious about entering the market. After all we have just gone through a huge correction which may or may not continue... I have seen many many recent opportunities go by and all I can think is "damn it". Is there any advice on this anyone can give somebody in this situation?

Hello Insider: So your risk tolerance isn't great at present. Given the extent of the fall, that's pretty reasonable, isn't it? The global financial situation is still far from settled, so I'd suggest you're merely being prudent.

You know you're very unlikely to buy at the bottom of the market, so if a bit of profit gets away from you, isn't that better than jumping in again too soon if this rally turns out to be just that, and a further downturn eventuates?

I sold out in January 2008 and am glad I did that. Still mostly in cash but have bought just three stocks about a month ago. Am in no rush to buy more yet.

 

[insider]

THANKS GUYS

I sold out back in 2007... I once bought BMN at 50 cents but I sold it 30mins later because I couldn't handle a small loss created in just day trading... My problem there was that I put ALL my eggs in the ONE basket... I think the trick may just have to be starting small... My trading a couple years back was sooo aggressive I guess I need to slow it down now... I also need to get the ability to trade stocks over mobile phone internet... I don't see a computer often enough anymore...

 

[moXJO]

Use a stop loss and trail it if your that worried. Do you have trading rules or a plan at the moment?

 

[Moneybags]

Hey guys I use to post here often and invest, however nowadays I seem to be too scared and cautious about entering the market. After all we have just gone through a huge correction which may or may not continue... I have seen many many recent opportunities go by and all I can think is "damn it". Is there any advice on this anyone can give somebody in this situation?

Hey Insider.......I remember you doing well out of MTN........and you did well to sell when you did IMO.

I held all my blue chips thru this fallout and have learnt the hard way that they are just as susceptible as species when everyone wants out......they are coming back well though. I have traded PDN and BMN recently with success and also done well with WES.

I don't know what is in store for the market but I'm enjoying being in it. I think the trailing stop is the go if you are as worried as you sound......and certainly a goer if you can't watch the market.

Anyway, welcome back.

MB

 

[insider]

I think a trailing stop loss is a must... However I don't really have a plan... The only plan I have is really getting back into trading. I will start small using just a thousand bucks because from memory we are approaching the end of the financial year which is usually brought by a massive correction from people offsetting losses etc.etc... And there would be some nice tidy profits to cash in considering the market lifted from it's bottom so quickly and so far... But what do I know I'm no financial adviser... The best defence for me is research...
Good old MTN... I'm soo glad I sold ages ago... It paid for a wonderful trip overseas... Have they lifted the ban off short selling?

 

[insider]

I've just bought into BMN $1000 dollars worth... I know I know chicken feed... But this is my risk management plan for the reasons I stated in the previous post. It doesn't even feel like I got cash in the market... Which is great for the nerves...

 

[KurwaJegoMac]

I've just bought into BMN $1000 dollars worth... I know I know chicken feed... But this is my risk management plan for the reasons I stated in the previous post. It doesn't even feel like I got cash in the market... Which is great for the nerves...

Don't berate yourself for the amount you invest. As you said, it fits in with your risk management plan and that's what's most important. At the end of the day you answer only to yourself so if you have a plan, then stick to it - and I congratulate you on doing so!

When I was getting back into the markets after a break to study at uni, I made the mistake of investing amounts over my defined strategy and risk management plans because I thought it was what I needed to do. All that it made me do was become nervous and jittery, clouded my judgment and left my emotions running high. So it's no surprise that I lost a lot of money as a result. I've learned my lesson and now I'm sticking to my plan and so far it's working.

Keep at it and welcome back to the market!