months now and then I realized that there had been a bull run lately. Dow
crossing 20k and STI crossing 3k.
Wow… Great according to what Trump tweeted and
many reckon he is going to transform the US economy for the better.
You really think so?
I remember in several months ago when Trump was
the candidate, he mentioned we are in a day huge bubble that will burst
anytime, and even worse if Fed is going to increase interest rate!
Now he is the president and when Dow crossed 20k,
he tweeted great! And all credit to him. Suddenly all the problems had been
resolved just like that!
Do we really think how things can change within
such a short time.
It is pretty obvious to me that things are pretty
much the same if not worse, now as compare to few months ago. Words can change
within this short time, but fundamentals don’t!
The economy is not as vibrant as the stock market
It really pays to be prudent.
Patience and self-control is the key for me. For
many months now, I had do nothing in the stock market after cashing out!
I am so happy that I have crafted the patience
which I will never going to have in the past, always wanting to dabble here and
there to the buy/sell buttons of the stock counters.
Sometimes stock increase, you are so pleased about
your own talent. Sometimes stock price drop immediately after your buy button,
we call it itchy fingers or bad luck!
I am convicted that we are heading into a
dangerous zone now. The more the market celebrates, the more so we should worry!
Maybe ask the question if the majority is always
correct or wrong?
Trump is protecting US economy by making it more
enclosed. Short term you protect jobs, but long term prices in US going to be
more expensive and make them less competitive to the rest of the world. Then he
still need to fulfill his promise to build the wall and the many
infrastructures in US.
It is funny that everyone is cheering that economy
in US is improving and interest rate is going to be raised by Yellen, without
seeing more in depth the complete picture.
Over time, price of goods and services in US will
increase due to protectionism against the China and the rest of the world. Then
US will also spend more in all the roads constructions! Next, interest rates is
going to be raised, meaning mortgage and loans are going to be more expensive.
So everything will be more expensive!
Then shall we asked where will be the money coming
Yes, you guess right – print more!
For me, I shall do nothing now.
Keeping my cash in the bank earning meagre
interest and hoarding precious metals when prices is right will let me sleep
better at night! And I am also happy that my career for now is less affected
and starting to see more certainty!
Meanwhile I suppose patience and self-control is
critical now for me which I am happy to be able to enjoy these two fruits
lately. Then wisdom and knowledge will tell me when the time is ripe and where
to deploy the hoarded cash and metals.
The journey has just truly begun I suppose!To end this article, may all the readers and
participants of the stock market be blessed with the wisdom and the prudence in
dealing with the market so that you can be prosperous and have good success!