- Make (a sailing ship or boat) ready for sailing by providing it with sails and rigging.
- Manage or conduct (something) fraudulently so as to produce an advantageous result.
Having given the lesson, hey the FBM KLCI went to as high as 1826.... a great move for the bulls.
Last Saturday, had lunch with a couple of trader friends. One of them told me that he received a call from a retail trader he knew. That retailer said to him, "I shorted 5 contracts of the index futures, now sitting on 25 points profit, expecting an Opposition victory in the polls on May 5. What about you? What? You did not short meh? So easy to make the killing, come Monday the KLCI will be gapping down 100 points when the PR wins the election. What the hell are you doing there whole day?
There I was thinking to myself, "What am I doing holding on to my portfolio of stocks? Maybe I should have liquidated take profits and went short the index futures for this "Trade of the decade.
The truth is when everyone is on board the Trade of the Decade, as it was in this case, the market was very likely to surprise and hit them when they were looking the other way. WHEN IT FEELS LIKE THE SHORT OF THE CENTURY, IT AIN'T. The situation at the close last Friday was that most the rtailers were short, most asset managers sold all of their stock holdings and were heavily in cash.
When the PM dissolved Parliament I overheard one trader next door asking another "You still holding on to your stocks, you not scared meh?" The outcome of the election and the klci reaction meant the unemotional disciplined trader has the last laugh.
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