Lucky or not, recent stock market's dead-cat-bounce is higher than expected, so high that the technical reading triggers the signal of end-of-bear-market, eventually made me changes my previous investment strategy, i.e. sell now instead of selling 3-5 years later. In general this is an example of emotion overtake logic.
The emotion part is my belief that this is a dead-cat-bounce; the logic part is the clear technical signal of bear-end. So sum all up, now even if the market goes crash, it would most probably be supported at 950. Instead of the much lower level I expected earlier.
Although 70% profit within a month seems pretty good but almost any speculator for the past few weeks would most probably easily get that return rate and more. Should I really keep for 3-5 years, 4x return isn't really that impossible. To really feel the difference, try imagining earning $70,000 from $100,000 vs. the potential income of $400,000. What can you do with an extra of $330,000?
Taking profit now actually allows me to rest for the year of 2009 (this year target achieved). However, selling off everything I have now is a bad positioning move, so I will need to start working on 'what to buy now'.
So follow the same method to screen out stocks to be analyzed on, this time I am using these rules:
1) Volume higher than 15,000
2) Price between 0.30 and 0.50
This is the list I got;
AISB ANNJOO-WB BRDB-WA BURSA-CL DUTALND EDEN EQUINE GPHAROS HUAAN IJMLAND-WA INCKEN INSAS KEURO KHSB KUB KURASIA LBS LIONCOR LIONDIV MULPHA NTPM OILCORP PICORP POHKONG SALCON SANBUMI SCOMI TIMECOM WCT-WB
Screen through their finance data (ROE and EPS), these are the 3 stocks I am watching now. More in depth study will be needed before taking any action but I have time for that (before end of 2009).