Success in Stock Market through Value Investment
At 211 degree F, water is extremely hot
At 212 degree F, water boils and become steam
Steam got power to run engine, turbines and contribute huge amount of engergy
All it take is....only 1 more degree
After you've invested in potential value stock, only 1 step further to wait the energy explore. This is just a matter of time.
If you buy a value stock and you understand you're not chasing the high, the price you go in at consolidation stage and the most important you know that, this company is generating profit, healthy cash flow and debt, and business is growing. But the price is going down further aftet you bought in.
Should you sell it or CUT LOSS?
My answer is NO, keep it. You bought the right stock, the only mistake you have made is ONLY buy at wrong timing. As timing is most difficult part in stock investing, don't expect you can perform perfectly. I would say this is very difficult or impossible to get it right at the right timing. Or merely you just a lucky guy bought in at the right time not because you're smart.
Therefore, keep it simple, admit the buy mistake in wrong timing . You will also soon to know the most difficult is selling timing. This can happen when you see the gain, but next week it wipe out completely.
Believed for value stock, the price will will grow. It just a matter of time only. Invest in patience, profit from patience.
Don't know who cut loss at this price. But now really cheap price, let's see any cheaper awaiting us. I believed there will be more impatience investors going to quit the game.
Nevertheless LCTH and HIL still turtle moving. Both of them need a "plastic surgery" to make the price and the trend pretty.
My favourite HIL today see a small rebound but will low volume. Still not look good.
Remind myself, value investing need a very strong patience. That's is my rule 3 - profit from patience.
Another value awareness stock by public causing KOBAY price hit limit up. Factors element fullfil and qualified for limit up once the awareness reach public. Anyway smart investors before public awareness already on board.
Simple and solid factors keep the KOBAY price hit limit up:
1. Profit growing lead to higher EPS. Price reflection for the low PE after reached public awareness.
2. Cash rich with minimum debt or manageable cash and debt.
HIL should be the next target for limit up stock, I believed on it. I still collecting on it, 0.70 to 0.80 price range still yummy. ☺
Aim the bull...aim the EPS growing...aim the next limit up HIL
In the life, timing is the everything. If you try to request something (e.g. proposal for married) from your girlfriend at the wrong timing (i.e. she is in the bad mood), the chance of the request to be successful is low.
In the stock market, timing is everything as well, right stock at right timing is the key to success. To be a long term investor, a strong patience is needed. Profit from patience.
A value stock price will be reflected at the right timing.
If it meant to happen, it will at the right time for the right reasons.
Do you experienced this before when the stock price keep dropping, till a level you cannot be handle and sell the stock at the bottom, after few days its start a rebound, and continue moving up till your purchase price. And then it move up again and never look back or come down to what price you have sold.
Therefore, market is a perfect tool to transfer of money ownership to one with patience from one without patience. Of course this only applicable to value stock.
