Let me relate a personal experience.
As a long term investor, more often than not i dont time the market. Whatever dividends which comes in, i reinvest it at a more undervalued counter in my portfolio.
Recently my dividend came in, i was tempted to use it to buy sia eng when it was just above 4 dollars. A bit regret when it goes beyond that low point. But i questioned myself why, finally i was justified that it was just on feel that sia eng at 4.05 was a low level and not based on sound analysis. Finally, i bought a chunk of tcil which i had held previous n researched thoroughly at just above hk2.80 never look back since n never regretted it since.
With buy/sell with just a click difference, it makes punting/speculating just a thin line separating them with a whole lot of differences to eventual outcome.
What do u think?
Hi Paul, thanks for sharing this experience. This is do true! And I will remind myself of this experience should I fall into the same dilemma next time.
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