Wednesday, July 11, 2012

Pennies Season

The pennies continue to take issues while most of the blue chips are taking a rest. Many asked me why don't buy pennies a month back, my answer to them is very simple. Pennies are different from blue chips, buy only when it's about to take off and only when the BBs are in. Don't ever park your money in something that is not ready to move yet where it could/might take years/months before it starts moving. Rotate it on some other counters where it will move with the general market. The stock market is all about timing. It doesn't necessarily mean if Dow Jones crashed, the pennies will follow. They have a different mechanism and behavior.

Congrats to Aven, Eng, YL, Feng, Stephanie and many others.  :)

Ronald K - Market Psychologist - The Big Speculator