Risk management: Stock market is scary, wall street is tough to play with

 Sept. 16, 2020

Introduction

Knowledge is power. I have losses over $6000 in Sept. 2020 since wall street likes to cool down stock market, energy sector also has over 10% losses. I like to write a short report on this. 

My bias

I choose to invest $70,000 dollars on August 31, 2020. I thought that technology stock is too hot to purchase, there will be correction any time around the clock. Actually energy stock is the same. 

I chose volatile stocks and then SU.TO has over 15% loss from August 31 to Sept 15. Today there is a mistake about crude oil calculation, now there is around 2% rebound on SU.TO stock, XLE ETF. 

My attitude

When I scare, I should think and push myself hard to get back. It is hard for me to do that. I used to get same response when I worked on first year Ph.D. study in Florida Atlantic university. 

I tried to pass Ph.D. qualification exam, but I also took those heavy courses related to technologies, I did not have too much time to learn and prepare for the exam. 

Of course, at that time, I have a classmate who used to Microsoft principle engineer after 15 years, who helped me a lot, answered my questions patiently. So many classmates help me, I do not enumerate them one by one here. 

It is hard for me to stay consistency. Work hard, and push hard to myself. No matter what I do, algorithm and data structure practice, system design, stock market investment, I should push myself and stay positive. 

I need to keep learning and understand how business works. 

Cheers! Say goodbye to over $7000 dollars loss. I got $400 dollars rebound, I sold them. I need to get back using small amount investment capital first.