Saturday, June 5, 2010

I sold my remaining Singtel lots at $2.97

Admittedly, it's quite tough emotionally to sell when everyone is bullish; it's not easy to be contrarian.

I toyed with the idea of selling both Singtel and Capitaland, while using the profits from Capitaland to cut loss on China Sky today as I'm rather bearish. In the end, I only executed a sell order on Singtel.

My main reason for selling Singtel was simple.

1) I'm bearish about STI index, and Singtel is a major component of it.
2) Based on the Singtel chart I have below, Singtel was on the resistance line yesterday. I sold because of that.
3) From chart again, we see a lower high and lower low. Based on Dow's theory, this is bearish.
4) From chart again, Singtel was at the 38.2% retracement level. On hindsight, Singtel went on to touch the 50% retracement level, and come back down to close at the 38.2% retracement.

Initially when Singtel touched $3, I was thinking if I have made the wrong decision to sell as it appeared to have broken resistance. On hindsight, seeing that Europe and Dow Jones just crashed, I believe my decision was good. Singtel closed at $2.96 as well. There's a high likelihood I will be able to buy it cheaper based on charts.

On hindsight yet again, perhaps selling Capitaland would be a wiser choice. I didn't sell because I know the price I got it was super cheap (<$2).

For my dividend stocks, I left them as they are. Shall see...

With the sale of Singtel, my monthly dividend amount has dropped to $713. I might buy back Singtel in the near future if it drops enough.


  1. Good move. Singtel most likely will be worth less in the next few trading days. Can buy back and collect the half-yearly dividend:P

  2. Hi Hyruga,

    it was on hindsight. Capitaland, I'm still holding :x

    But I find Singtel easier to trade :)


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