Wednesday, April 2, 2008

Apr-2 It's time to pace the market

Other than simple buy-and-hold, I would like to point out that pacing the tone of the market is a very important to beat the overall market.

  • This is not about following the hot sectors, or picking up a single stock that outperforms
  • This is about to feel the market in a sensible way
Basically, most stocks follow the market, but how can we profit from the most profitable stock or sector? This requires outstanding market sense.

For example, Hong Kong market has a cycle about a week to outperform or underperform US markets, as well as other markets like India and Russian with shorter or longer cycle, if we can catch the cycles, obviously your performance will be better than the market. For longer period, this is also the truth.

Please pay attention to Taiwan and India markets, they will be hot again in weeks. :)

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