the chops are still going strong , so here's some thing else totally unrelated to this stock ......
it's to do with CFD's and shorting the china A50
a couple of years ago I tried my hand at trading the china A50 which cost me due its totally unpredictable sporadic nature and my innocence ....... more recently I had another go at it starting approx. a year ago and made some good money.......
the basis for my trades was that the china A50 had had an enormous run up to a peak higher than Everest, and then it started to trend down strongly........all the news around at the time was about china's slowing economy so I was shorting ........the china stock market trades at ridiculously high pe levels and more often than not its direction bares no relationship to the economy, and its manipulated, but I had detected some longer term trends that I went with...... when the price went against me I held on, and some times added - and it was all good the A50 overall kept on moving down........then the party was over and I was out - watching the stock move steadily up again ........ I was never going to go long on china so i watched, waitng my opportunity ...... after some time I was eventually back in shorting with my first small parcel, the A50 moved up so I took out another small short , it continued up further where I shorted a third small parcel, then a few weeks back it took off leaving me more seriously in the red......... I held and by coincidence took out a 4th. small short right at its zenith and increasing the average level of my position.....
the A50 is now moving down sharply, 40% of my loss has been recovered and I am smiling in anticipation of a further gain......the thing is my confident approach anticipating more long term downward movement is broken, if it reaches my average entry point, I will probably lighten, or may be sell all......
I suppose what I am trying to say here if you are very confident of your reasoning, then you should remain steadfast, keeping in mind your relative experience ....... maybe i have been lucky in this instance, as not all of my grand plans have ended so well -and the games not over yet..........
the other thing I like with this sort of trading is working in small parcels as it gives more flexibility.......... also its never wise to use large amounts for this type of trading ......
well, mt you asked for some investment philosophy ......
CLH Price at posting:
$1.26 Sentiment: Buy Disclosure: Held
