I started serious Investing Journey in Jan 2000 to create wealth through long-term investing and short-term trading; but as from April 2013 my Journey in Investing has changed to create Retirement Income for Life till 85 years old in 2041 for two persons over market cycles of Bull and Bear.

Since 2017 after retiring from full-time job as employee; I am moving towards Investing Nirvana - Freehold Investment Income for Life investing strategy where 100% of investment income from portfolio investment is cashed out to support household expenses i.e. not a single cent of re-investing!

It is 57% (2017 to Aug 2022) to the Land of Investing Nirvana - Freehold Income for Life!

Click to email CW8888 or Email ID : jacobng1@gmail.com



Welcome to Ministry of Wealth!

This blog is authored by an old multi-bagger blue chips stock picker uncle from HDB heartland!

"The market is not your mother. It consists of tough men and women who look for ways to take money away from you instead of pouring milk into your mouth." - Dr. Alexander Elder

"For the things we have to learn before we can do them, we learn by doing them." - Aristotle

It is here where I share with you how I did it! FREE Education in stock market wisdom.

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Important Notice and Attention: If you are looking for such ideas; here is the wrong blog to visit.

Value Investing
Dividend/Income Investing
Technical Analysis and Charting
Stock Tips

Wednesday, 1 August 2012

Average Down or Pyramid Up? (3)

Read? Average Down or Pyramid Up? (2)

” If you have a worry problem, do these three things: 1. Ask yourself: “What is the worst that can possibly happen?” 2. Prepare to accept it if you have to. 3. Then calmly proceed to improve on the worst.” (Carnegie 49)


Average down or pyramid up lies in the understanding the wisdom from Dale Carnegie.

“What is the worst that can possibly happen?”


What is the worst that can possibly happen when we get the stock direction by averaging down or pyramid up???

Pyramid UP


When we finally realise that we are seriously wrong on that stock direction, we can still get out with small or big regret.


Average Down

When we finally realise that we are seriously wrong on that stock direction, we may be in a sorry state for a long time.


The Moral of Story

Do you want to regret or feel sorry?

The choice is yours!








Posted by Createwealth8888 at 17:39
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2 comments:

  1. Unknown2 August 2012 at 18:32:00 GMT+8

    Always invest based on company's performance and not to trade based on stock prices.

    Regards,
    www.sgwebreviews.blogspot.com

    ReplyDelete
    Replies
    1. Anonymous2 August 2012 at 22:07:00 GMT+8

      Theoretically is correct. Practically is not so easy. Because all information is passe in the market. Besides no one can be sure the information you get as a retail investor is "UTD" & "free from cooking". So due diligence is one thing, Lady Luck or God's blessings is another. i believe in Lady Luck or God's blessing after you had your due diligence. My 2 cents.

      Delete

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