American comedian George Carlin said in 1990, “Think of how stupid the average person is, and realize half of them are stupider than that”. Of course if Carlin were alive today and said that, all the stupid people would be triggered and complain about their human right to be stupid being violated.
I admit I am not a sympathetic or empathetic person when it comes to certain issues. In this case, losing money in the stock market. In fact, losers get exactly what they deserve for being part of the “half of them are stupider than that” group.
If you follow the Philippine stock market groups on social media you can find posts every day that whine about losing money in the stock market. Why isn’t there complaining about losing money in last night’s lotto draw. Maybe lotto investors are smarter than stock market investors.
When I was coaching kid’s basketball, the one thing I would not tolerate was complaining about the referees. First, bad calls are only bad if they go against you. Otherwise, it is just that the referee saw things from another angle.
Second, bad refereeing is part of the game. “But it’s not fair!” To which I would reply, “Kid, if you want fair, you better consider becoming a priest.”
There are situations that arise every day in the stock market that do not follow rules. At least with lotto everyone has an equal and fair chance of winning and losing. Further, if you think the stock market is rigged, manipulated and crooked, stay out of the game. And honestly, if you are not smart enough or conscientious enough to protect yourself from nefarious stock market practices and do invest, I have no sympathy for you. I would think that owning a siomai kiosk is more suitable for you. Be aware, though, your employees will steal you blind. I know, that’s not fair but is a fact of business life.
Assuming you went into stock market investing with your eyes wide open and are losing, I will try to help. But you still do not have my sympathy because you should have done more homework.
“The best defense is a good offense” is my motto. You are guaranteed to win if the other team does not score any points.
You bought a stock and it is now down 50 percent, and you are asking for advice. Did you ask when it was down 25 percent? Most likely not, and that is why you are a loser with a capital “L.” Now the price has to double for you to break even. Good luck with that. Maybe prayer will help, but probably not.
I can give you hours of instruction about technical analysis and trading but I will not waste my saliva or your time. Besides, you are already a “Loser.” So sell everything, walk away, and do whatever you are comfortable with that is the equivalent of getting drunk.
Next time, though, remember this: The first time you get that little feeling in your stomach that something is going wrong, sell out immediately. You may still lose money but you will not be a loser. Roman historian Tacitus said: “He that fights and runs away, may turn and fight another day; but he that is in battle slain, will never rise to fight again.”
E-mail me at mangun@gmail.com. Visit my web site at www.mangunonmarkets.com. Follow me on Twitter @mangunonmarkets. PSE stock-market information and technical analysis tools provided by the COL Financial Group Inc.