Part 12 - Ten-thousand fold profit in six years- the legend of Taiwan stock market

If one is too much focused on the surface of the stock market will lost money easily.

After I examined myself, why did I not earn much money before? Apparently, I was at the right time to buy and sell. I especially run away from the highest points twice (4,600 points in 1987 and Shirley Kuo’s event in 1988). Although I lose money from selling short the stock too much in 1990, after that, I earned money again. But I wondered why I was unprofitable in annual revenue ?

Maybe the main factor of losing money was on tracking rebound. I looked down the rebound after booming, how could the market busted that much? In the end, I lose money from the stock market. Besides, another factor might be I was too much focused on what the stock market appeared like on the surface. I was always looking around in every side to chasing and killing stocks. At that time, it was the bull market that made me profit a bit from chasing stocks. What a pity the profit I earned was only a short period of time. The only satisfaction for me at time was to show off my transactions to my friends.

No matter what, I was about to have the ability to indicate the market. However, I did not operate this indication, nor figure out the main cause of booming. Fortunately, I had not been drowned in the bust and boom stock market. Because my operating direction was correct that I indicated the market from the big global events point of view. – “When the market is up, do not sell short of it; when the market is down, do not buy too much." I was annoyed about not profit much although I could indicate the market. Until after I left this “legal person" and operated TWSE (Taiwan stock market) myself, which will be mentioned in my following blog posting called “raw material age", I finally found the mistake.

Lastly, the investors shall be award that although treasure map was found, no one was ensure to find and own the treasure. This process may be more challenge than the movie. However, if you are following the globalization trend unless you will be kept safe. Although you may not profit ten-thousand fold, you will at least be profitable.

To be continued…