Replies to post #144169 on Sino Agro Food Inc (fka SIAF)

[RealDutch]

you can use Technical Indicators as much as you want

I just told you... technical indicators are beneath me.

So you are saying I'm not a value investor because I haven't read any books about it. You learn this stuff from the books you read?

Why don't you take a look at HERB and then tell me if you are a value investor? Chances are you will piss your pants just like the rest of them.

[RealDutch]

I've said this many times before, if it was that easy and predictable, everyone would be a millionaire by now.

No. For a number of reasons.

First of all, there are not many cases where you break the long term downtrend. Perhaps on any given day, only 1 out of 3000 stocks. You are going to watch all 3000 of them?

Two, you can't really say with certainty that resistance has been broken. And by the time you can, it may be too late. But you need to have a lot of trading experience to understand my point here.

Three, false breakouts are more rule than exception, these days. What this means is, you will buy at, say 0.38 but it drops to 0.34 the next day. You just got screwed by the hedgies. And then you panic, and sell.

Four, suppose you do get it right. You buy at 0.38. Now you have a problem at 0.44. Take profit or let it run? It does quite often fall back to 0.36 (which is now support) before moving higher again. After all, you don't know much about the company in the first place. So you will probably take profits too soon. Or not?