Helena-Reet: STOCK EXCHANGE enterprises’ collapse & my THREE golden rules of day trading + a bit of random summertime talk :)

11 Jul, 2022 by Helena-Reet Ennet

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NordenBladet – June is over.. another school year has ended for the children, financial reports of the year have been submitted, a proper collapse on the stock exchange has been witnessed (I’m still digesting it.. and possibly also in August), plans for the summer have been made (gardening works, more gardening works, heat insulation of the house and certainly work across the websites, etc) …at the same time I enjoy everything that I do and I do everything just as much as I please and just at the moments when I please. What a luxury!!

The days have been so busy that today on July 11th I am posting the blog that I started on July 1st 😛

Last week we purchased two-day passes for Retrobest festival that takes place in Pühajärve park in Otepää, but on Thursday it suddenly appeared that nobody can look after Ivanka on Friday, so we decided to sell our tickets with financial losses. And more financial losses were to come on Friday. Since the end of the month was depressing on the stock market, then despite the slight rise on Friday I admitted that May and June produced a lot of losses and it isn’t soon that the markets will rise again – it is more beneficial to own some of the losses and then buy the shares at an even lower price again so that the money won’t be stagnant. Yes, indeed, it is a very depressing feeling (plus…you feel it sharply how the older generation of your family will judge and condemn you, think of you as a casino addict, a gamer…) but it’s not like that. On the stock exchange market you invest money. You invest into the businesses that you believe in. Ok, trading is a bit different, you invest short term, but still, you don’t place the money on the roulette table but into the shares of an actual enterprise. This is a very big difference. Besides, a normal person enters the stock market with the money that doesn’t belong to the wellbeing fund or doesn’t have to do anything with the money that concerns home, long term investments in life, or the daily bills.

I have analyzed, why did that loss occur? And the answer was simple.. Yes, sure, the main reason was that the markets and world economy are going through generally very tough and rough times, but the truth also is, I became greedy…

  DON’T GET GREEDY, this is trading rule number one.

  KEEP 50% OF THE PORTFOLIO IN MONEY AT THE END OF THE DAY aka sell the shares by the end of the stock exchange day, this is rule number two.

  DISPERSE PROPERLY.. aka trade several shares of the stock exchange enterprises..

… but now we get back to point one. The less money you have the more beneficial it is to trade one or two things, because you get greedy and want quick profit. Not to say that with too small sums even the volatile market won’t help you – you need money to make money. At an unstable time like this it is especially beneficial to keep the portfolio in money at the end of the day, because tomorrow may bring winds of change. When you have completed 4-5 successful waves during the day (this is how I call injections of finances on the market), then even when in the evening before the end of the market you sell the shares with a slight loss it is safer than keeping the amplification overnight and accepting surprises of the new day (which lately have only been “falling knives”). Currently the markets are so upside down that keeping growth shares seems quite meaningless. I have prepared several excel spreadsheets for myself to quickly calculate which choice is most beneficial – buying more, keeping, or selling or.. selling with losses and buying again at a lower price. July 7th and 8th were promising on the markets… but it seems the joy was ephemeral.

Today the S&P 500, Dow 30, Nasdaq, Russell 2000, Crude oil, etc are all once more in red and in great minus. What can I say…nothing else than it is a peaceful feeling today because on July 7th (before the 15% rise I sold most of the trading shares) 😀

Summer is a rather bad time for trading anyway… the market is sleepy and it feels better to be outside. The weather is so fine, no doubt, and it is so good to be outside. If you have your own garden, it is a luxury!

I often lay the table outside (I want and like every day to be special, beautiful.. I like taking good care of my man and my children and I like when real life is even prettier than in home design or cooking magazines. I believe that the everyday little things are what make life beautiful. Pleasing the eye is very important and is worth the effort! The little extra effort, and it brings so much warmth to your home and makes your life beautiful and luxurious. LITTLE beautiful moments are what will be long remembered!

What else? I have discovered that quite near to our home there is the Maidla Lake with a neat beach. You understand, I have lived here nearly 20 years and it is only now that I’ve heard of it. A very pleasant place to go swimming, a lot more enjoyable than driving to Laulasmaa to swim.

Read, swim, enjoy the weather and create beautiful moments for yourself!
Have a great summer, hugs and kisses and until the next blog post!
Hugs!

Do read also my previous blog posts (all posts are available in four languages – Estonian, Finnish, Swedish and English!)

Recent blog posts:

Helena-Reet: In Tartu, Saadjärve, Räpina and Viljandi
Helena-Reet: Allan’s mother visiting + Midsummer with parents
Helena-Reet: Estella Elisheva’s graduation from Tallinn Jewish School’s 9th grade + GALLERY!
Helena-Reet: Enjoying life has become more and more important to me + a few pictures from children’s birthdays and a tiny gardening blog!
Helena-Reet: Ivanka’s 14th birthday, Love Day, Ardo’s birthday and LOTS OF GARDENING TALK and PHOTOS!
Helena-Reet: Two years with Allan! + Estella’s admission to MUBA, performing with Georg Ots Symphony Orchestra and 16th birthday!
Helena-Reet: Summary of March and April
Helena-Reet: My magical 22.02.2022 + BEAR MARKET AT STOCK EXCHANGE, NEW PAINTING, NEW RECIPE!
Helena-Reet: Airobot IPO, Stockfanatt, cyber attack, comedy show Jokker, Eesti laul 2022, NEW PAINTING and a lot more interesting!