D+35

A peaceful weekend gone by swiftly!

I haven't get my Christmas presents yet but I got the food for this coming thursday's celebration already! Good or good? GOOD!

Tomorrow, I'll be having a long day with job training ending at 6pm and crashing Sociology Night Class at 7pm!

So, the only time i can get my last minute Christmas presents is only Tuesday!

As you can see, my time slot is getting very packed till Christmas.

Anyway, I had a chat with Terence after his T3B seminar over the weekend.

It was very fruitful and I wish i could be there.

I ask an advise from Terence on whether should i cut my cost at 0.365 for my stock at RafflesEdu.

The stock hasn't been doing well for the past 3 trading days and the price fell by 10 cents!

That's a paper loss of $200 for me!

But both Terence and I agreed that the price have fell more than 8% of my buying price and I should be cutting my loss now!

Let me just give you a short but useful example that i've learned.

if i buy a stock at $1000 for 1000 shares, the price per share is $1.00

So, given a free-falling price market,

read variable from left to right,

Price fall - % changes - % change needed to break-even

$0.92 - 8% - 8.8%

$0.80 - 20% - 25%

$0.70 - 30% - 42%

.

$0.50 - 50% - 100%

___________________________________________________


Basically, What I'm trying to say is that the stock price is currently free-falling and the percentage change is not the same as your percentage to break-even!

You can tell me that if my price drop by 50 cents, to $0.50 per share, you just need the market price to rise by 50 cents to break even, But what you don't know is that you're asking for a 100% improvement of that stock!

Comparing to a drop by $0.08 to $0.92, what you need is the price to rise back to $1.00 at a % change of 8.8%

Therefore, you can see that experts from T3B have recommended that all should cut cost when your stock price fell from 8% of your buying price!

Because, if the price fell anymore, I would require a very massive improvement from the stock just to break even!

For now, my stock needs a bounce back of 25% for me to break-even due to my negligence of not cutting my loss when the price fell tby 8%.

So, that's my story to share and lucky for me, this will turn out to be a valuable experience for my future trading!

and here are my 5 success for today:

1. I deposited $1.30 into my financial freedom account!

2. I had a family gathering dinner with my relatives!

3. I bought the food needed for this coming Thursday's Christmas celebration!

4. I had a chat with Terence about how to spring-clean my Portfolio!

5. I put up my sell order at POEMs!

with that, I'll end today's post with:

"YOU HAVE A MILLIONAIRE MIND!"