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Stock Market Mind Games

When did you start trading?

I started 7 years back. It was tough because I know nothing about stocks. All I know was to buy and hold and when the price is up and when I “think” the profit is enough, then I would look to sell. Many times, I lost money because after I bought, the stock came down and I either need to cut loss or use my hard earned money to buy the stocks.

What spark your interest in investment?

I was intrigued by stories of how people made a lot of money in the stock market. I was watching a Hong Kong drama many years back and was fascinated by how the rich players used to corner the stocks. They are empowered with the ability to decide when a stock is ready to trend higher or crashed. That particular scene made me think twice investment. To me at least, stocks are not for investment purposes, they are for speculative purposes.

Do you have a portfolio of stocks for the long term investing?

Nope, like I said I don’t believe in investment because all stocks are controlled. Even big companies like MF Global and Lehman Brothers can collapsed, so long term investment is definitely a no go for me as it inherits huge risk. Moreover, the money is tied up there and cannot be used for more profitable trades.

What is your basic strategy when it comes to choosing a stock to punt, what do you look out for?

The liquidity and participation of players in a stock is very important. You don’t want to buy a stock that you can’t sell. I study each stock individual behavior as I believe all stocks are different. There are days when the market was looking so greenish but the stock still tanked down and vice versa. I also study different sectors to understand which sector is strong/weak so as to decide which sector can give me the maximum profits.

Do you have a system that throw out a stock based on K theory or do you have to manually screen for them?

I believe in the traditional way of doing things. I screen for them instead of using a software or a system. My K theory doesn’t involve in automation. All screening and selection is done manually.

Do you factor in fundamental data like earnings in your stocks pick?

Of course not, I am a speculator, not an investor. More often than not, those fundamentals only tell you the health of the company, but they don’t tell you when the stock is ready to move up/down. I am a very short term speculator and I can’t make my decisions based on any fundamentals.

Could you expand on the K theory? , is there a formula for K time, K turn?

There is no formula whatsoever in my system. Basically there is only to adapt what is useful, reject what is useless, and add what is specifically your own. I don’t believe in technical analysis or fundamental analysis. Most of them are fixed set or rules/patterns which are incapable of adaptability or pliability. The real truth is outside of all fixed rules/patterns. If one were to follow rules/patterns, he/she will have created another rules/pattern and trapped yourself there, it’s hard to liberate from it.

What your best and worst trade so far?

My best trade so far was I shorted noble the day before and it collapsed almost 40 cents the next day. My worst was I cut losses 3 times in a day which rarely happens to me.

Lastly, what advice do you have for aspiring traders?

Focus, concentration, fearless and eliminate all noises. My friends used to tell me no one can spot the high and low but I proved it in my 1 year plus of blogging with track records that it is very possible. To me, nothing is impossible in this world. In speculation, winning don’t always go to the wiser or experienced, but sooner or later the man who wins, is the man who thinks he can. Do not anticipate the outcome of any trades; you ought not to be thinking of whether it ends in victory or defeat. Let nature take its course, react to whatever market is giving you and your tools will strike at the right moment.


Ronald K
Ronald K

About Ronald K

Stock market speculator who performs adroit speculation and profit consistently from the market. Discovered the science and art behind stock speculation with precise timing and execution.