Stocks and Property Recovering (see graph)

you did a good job. well done. being tactical n nimble is key now. and remember greed is good but greed kills.

[Dignite]

Hi,
im kinda new here,so im just wondering on this question.
risks of stocks are high why do people still plays it?
and how to make sure it benefits one self

There are all kinds of people with different views of risks. Some feel buying when stocks have fallen drastically (e.g. in March 09) is risky, but buying now when stocks are "recovering" is not. Others like me hold the opposite view - we buy when we think stocks are cheap (e.g. in March 09) and sell some for profits when stocks have reached medium term high (e.g. now). Both groups can make money, but in different ways.

For beginners, I recommend observing the stock market for a while and saving up in the meantime. When you have some spare cash, then try to invest in blue chip stocks. Don't play contra unless you fully know what you're getting into and are fully prepared for the risks. Look into forex and derivatives if you're more adventurous, again with a view of all the risks involved.

Originally Posted by Dignite

Hi,
im kinda new here,so im just wondering on this question.
risks of stocks are high why do people still plays it?
and how to make sure it benefits one self

Minister Mah Bow Tan says ‘I wouldn’t say there is excessive speculation at the moment, but there is some element of speculation involved. Some of the practices and habits that you saw in the last property boom, are beginning to comeback, so I think we’ll have to be careful.’
Does that mean we can still buy and sell when the speculation becomes excessive?

I mean we should buy now and sell at the point when speculation becomes excessive.

like what’s said above, don’t be too greedy. get out while profitable. a lot of this speculative rally is due to hot money coming from china. hot money means they come quickly, drive up the market, attract more retail investors, and finally they’ll get out after driving up prices. don’t be too greedy. make some money and get out. buy again later.

Originally Posted by speculator

I mean we should buy now and sell at the point when speculation becomes excessive.

The correction will come fast and furious .... so beware. There is simply no measure of excessive speculation.