The fluidity of value
I have posted the summary of Q4 financials for this year in my management of stocks. I tried a few things this quarter, including day trading and flip flopping. None of them appealed to me yet because I realized that in order to do so, you have to have a bigger capital in general to make a good return on the investment. Even then, the part that you use for flip flopping and day trading should only be a small amount of your whole portfolio, so that the whole process can remain purely cerebral. Once you get emotionally involved in the trade, that’s when you start losing money.
I also had a hard time coming up with a consistent way to log my gains, but there is none. The more I research into finances, the more I understand that the value of money is fluid at any given time. There is always someone who want to buy for more than what it’s worth and someone who are selling for less… but are they really? Maybe they’ve gained enough over time and it’s not worth fighting for a few cents for them.
Despite working at a shitty job for the first four month of this year. I still managed to save up enough to reach my 20k target With 7% of it generated from the buying and selling of stocks. It’s a great sense of achievement, yet a little bit surreal. You see, I do not understand the concept of 20k in value. All I see are numbers, day in and day out. One day, I might be 1k less than the previous day and another day, I’ll see a 1k gain from before. It’s a true emotional roller coaster and it has helped me in understanding risk vs opportunity while keeping a cool head above the water to make the right decision.
I have yet experienced any major stock fall yet, so I am crossing my finger that things will continue to be good. It seems like something is bubbling up, but I can’t get my hand on what it is. Maybe it’s the new monetization of the blogsphere, but I fail to understand how it can be related.
Until the next quarter.
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