Ernest Lim's investing blog

Unique insights into SGX small caps

Bias

Markets – market opportunities may materialise in the next few weeks (3 Jul 2022)

el15

Dear all, I have been extremely busy with work. In my line of work (i.e., stock broking), we may have numerous trading ideas but we always face severe time constraints every day. My clients can attest to the numerous messages and information which I send out daily (Nevertheless, I do remind clients to exercise their due diligence on such information which I send as they are general in nature and may not be suitable to one’s specific risk profile etc.) For my readers, thanks for the patience and for viewing my blog which unfortunately, is not updated as frequently as […]

Markets – possible technical rebound in the near term but likely short lived (26 May 2022)

el15

Dear all I have been extremely busy with work, hence the dearth of articles on my blog. Dow has closed lower for the eighth consecutive week. This marks the longest period of consecutive weekly losses since 1923! S&P500 has registered a seventh week of losses, its longest weekly losing streak since March 2001. Are the markets going to drop into an abyss? Or has the bottom been reached? Before we delve into this, let’s recap on my earlier market outlook article dated 4 Apr 22 (click HERE). Previously, I wrote that I am more inclined towards the bearish / prudent […]

Biases in Investing (25 Sep 16)

el15

“I’m an idiot. I shouldn’t have sold off ‘Stock A’. I just know that it will rocket upwards in the next few days. And now it has surged. It is so obvious. I should have seen it coming” Do the above sentences sound familiar? If yes, then you probably have a hindsight bias. Biases are typically insidious and can affect and distort our thinking and interpretation of data and choices without our knowledge, thus we have to be wary of the biases and act accordingly. I was recently asked by Lianhe Zaobao (please refer to their article HERE dated 25 […]