29 August 2016

Getting excited when the price is falling

Are you crazy? Why are you so excited when the stock market is so depressed?

Why not? I asked?

Because the share you bought loses its value! You used to buy at $1 and now it becomes $0.80. If you have bought 10,000 shares, now it will becomes $8,000!!! You have lost $2,000.

Is this true?

To answer this question, let me ask you one question.

If you go to the grocery stall and buy 1 dozen of eggs at $5, and 2 weeks later because the eggs stocks have goes up and thus causing the price to come down to $2.50, will you buy more or less? I don't know about you, but definitely I will rush in and buy more. Probably I will buy 2 dozen of eggs instead of usually I only buy 1 dozen.

This is the reason why I always get excited when the stock market goes down than going up.

No comments:

Post a Comment