CY@CY Says Welcome to my dreamscape. Where a Lim is also a Ling.
Bursa Malaysia
In KLSE stocks we invest
Always hoping for the best
It isn’t for the faint-hearted
For the wild swings can cause a heart attack.
When the bulls are in control
Just go with the flow
But when the market is rampaged by bears
It’s time for tears and fears.
When stocks rally
Everyone is happy
When stocks slump
Everyone looks glump.
Many treat the KLSE like a casino
A platform where gamblers go
The stakes can be very high
When high rollers come rolling by.
We are told to invest in blue chips
But these normally don’t come cheap
Oftentimes they are boring
Keeping track of them is like watching grass growing.
Growth stocks often look promising
They have what defensive stocks are missing
If you’re looking for dividends
Income stocks will meet your requirements.
Penny stocks are the darlings of punters
Such people search for the next big one like hunters
But you have to watch out for the pitfalls
Don’t end up losing your balls.
Warrants offer great leverage
That’s why Cuscapi-Wa recently was all the rage
An intraday spike of fifteen cents in its price
Speculators laughed all the way to the bank because of the dramatic rise.
Nothing beats value investing
It’s often touted as a sure thing
Just look at Warren Buffett
His astounding achievement is an undeniable fact.
The famous adage “buy low sell high”
Promises to help you make a pile
But it’s easier said than done
Oftentimes it is done the other round.
Be fearful when others are greedy
We hear that countless times already
Be greedy when others are fearful
That can bring you misery if you’re not careful.
Diversification is the key to risk management
A good well-diversified portfolio shows your investment acumen
When headwinds blow
Their pressure sounds hollow.
Fundamental analysis is the cornerstone of investing
Like see-through lingerie it is revealing
Technical analysis attempts to forecast stock movement
To me that’s as difficult as trying to gauge the moods of women.
Stock analysis is crucial
Study the stock’s various ratios
Whether it’s the EPS, PER, NTA or dividend yield
Such knowledge you need to build.
Don’t act on tips and rumours blindly
Do your due diligence carefully
Analyse the financial reports
And always do research and keep good records.
Many find it difficult to cut loss
That’s what is going to cost the most
A stop loss acts as a plug
Minimising loss is not a matter of luck.
Beware of pumps and dumps
Or else you will experience serious knocks and bumps
Syndicates behind these schemes
At your expense they skim.
When T+3 comes around
And your stocks are down
And you don’t have the fund
Stock investing is no longer fun.
Markets go up markets go down
It’s like a merry-go-round
Liquidity brings a rush of adrenalin
Excessive speculation is a dangerous fling.
Market whims can get you screwed
Don’t accuse Mr Market of being cruel
Stock investing can be very lucrative
Like a double-edged sword it can also be very speculative.
Falling in love with a stock is a definite no-no
That’s something you should know
There’s no room for such romance
Or else your loss can be immense.
Limit up a stock goes
It’s like striking gold
But when a stock goes limit down
Your loss is difficult to surmount.
Always be on the alert
Don’t over-rate yourself as an expert
Don’t ever think you’re a sifu
You’ll end up exposed as a fool.