Welcome

First of all, welcome and thank you for visiting my blog... Here are a few things for you to ponder about... 1) Do you feel shy when posting your questions or comments on blogs because most people there are already experts? 2) Do you have problem finding or asking the most basic questions about the stock market? Well, you have reached the right blog... This is a blog for anyone who wants to learn more about the stock market. Particularly for beginers. However, some of you may find it too basic. However, I'm not here to teach or to lead... But as I have mentioned, this is a learning blog.... And learning is an ongoing process. So if you are patient enough and continue to stay with me, you will be able to see our progress as we share and learn more with each passing day. So if you have any questions or comments or suggestions, do feel free to post here. I will try to find the answers from other sources and experts elsewhere... And to those experts out there, please do drop by and give us comments and advices ya.. Thank you so much.. By the way, when you are free, you may visit another blog of mine that is about chinese tea culture... Do drop by and relax after a hard day of battle...

Saturday, March 24, 2007

Bulls, bears, hogs and sheeps

Hehe.. came across this phrase recently: "Bulls make money, bears make money but hogs get slaughtered."

Basically, in terms of buying and selling... a bull is someone who is buying - with the believe that prices will go up. A bear is someone who is selling - with the believe that prices will go down... The term bull and bear is derived from the way these animals defend themselves... A bull will use the horn in a upward strike, so it is like pushing the price up... A bear fights by striking things down with their paws, like pushing price down...

How about hogs? Hogs are described as greedy individuals.... They are tempted to buy shares which they cannot afford because of their greed to make quick cash... So if there is fluctuations in the price which happens very often, they get panic and they make bad decisions... That is why they always get slaughtered in the end... But if their bet is right, the shares they buy do go up... They will have the tendency to wait till the price go higher then they sell, but they often end up falling down the clift.... They may have their planned their moves in the begining.. Like hogs planned to go out and search for food... But greed always win and cloud their decisions and plans... In the end... They fall into the trap... That is how people use food to trap hogs.... Hehe...

Sheeps are great followers... They don't have to make decisions... All they need to do is to follow the trend or tips.... But one thing is for sure, the stock market is a very highly competitive place... People don't give away tips.... For they need to stay in the front in order to get the profits.. Real tips are not revealed, and those revealed are lousy tips... So, sheeps who get tips, get slaughtered as well... Those that follow trends always happen to be the last and the most foolish of the block... They always enter the uptrend late and when smart people are making their exit.... So, they alone ride the slide downhill....

So, which one are you? If you are the sheep or the hog, it is still not too late to upgrade yourself into a bull or bear... Hehe... Knowledge, skill and wisdom is the only thing that can transform you.... So, good luck.....

3 comments:

Anonymous said...

To go along with this, is my own input:

If it calls you on the phone,
it is not an 'investment'.

Learning this has cost me several thousand over the years.

Stock Picks said...

Nice post. Surviving the stock market pits and falls needs good observation and analysis.

Anonymous said...

Hello - A fairly good analysis of investors with thought provoking tips or lousy tips.Thanks.