Hi all!!

Pretty busy lately with school work as mid-term tests are just around the corner(in fact I'm having 1 tomorrow!!) So I will do my best to do a good sharing. :)

Besides studying, I'm also looking for opportunities to earn some extra income, hence stepped into the realm of investing. I recently bought OSIM stocks, this is a company that I have watched for a few months, and I never bought in earlier due to the stock going on a downtrend. After it tanked after it releases its annual report forecast, as the company reports a potential decline in profits for 2006.

Then after, it began consolidating sideways for a period of time, so I thought its a good time to buy some. I bought some shares at $0.94 on the 16th Feb.

On 22nd Feb, OSIM released its annual reports, despite an increase in revenue, the company registered a 28% decline in net profits. The funny thing is the stock price went UP!!



On the next day, it hit the $1.13 high!! My greatest mistake came when I thought the stock price will either go sidewards or up, so I bought more shares on the 24th at $1.13. Before 24th, I have already made a tidy profit of $600 if I sold all my shares.

For the next few days, the signs are not in my favour, the stock price is ding-doning up and down, and today, 27th Feb, it broke through my 8% stop loss support, went down to $1.01!! I know I can't let my emotions get the better of me by holding the stock any longer. So, I immediately sold my shares I bought at $1.13.

Guess what?? In this way, I made a bloody LOSS OF $600!! So, after adding up the brokerage fees, I will make a NET LOSS OF S$200.

As I am writing this blog, I reflected and realized that an emotion that an investor should not have has taken over me at that point of time, Greed... If I would have sold all my shares then, I would have locked in my profits, in my very 1st trade!! Not a $200 loss....

For the whole of today, when I'm in school, my thoughts are literally consumed by stocks and can't concentrate on the lessons. This thought me one thing, Do my best to restrict my investments to a small amount, and not let it affect my studies. As a student, I know my priority is in my studies, not investing..... yet.

What I will do from now on... Paper trade my way till I graduate, hold only 2-3 stocks with real money, restrict my overall stock portfolio to a mininum sum.

This is my commitment.