HSE.TO: Equity research - How to do a good research called post-mortem analysis?

 Dec. 23, 2020

Introduction

This is the first year I worked on equity research. I do have some confidence in my research, but the impact of research is challenging, since my bet is hard to hold since market value will go up or down more than $2000 dollars/ day, my first thought was that I am a gambler. 

HSE.TO stock

My mint application - my positions

XLE ETF - uptrend - I do not know how to play in uptrend yet

I was busy to make small profit to trade 1000 share in/ out, but I should prepare for big rebound after vaccine good news, market will totally go crazy and all stocks went crazy in the first day. I was busy with my Google phone screen/ onsite, I could not learn how to play an uptrend. 

Yahoo finance portfolio 

I sold 2000 shares of HSE.TO at the lowest price. 

2000 shares at price $3 on Sept. 23, and in less than two months, the share price went up 100%. Now I understand what beginner is. Buy high and sell low. That is so hard to work on post-mortem analysis. 

My story

I was afraid to purchase stocks, so I chose to invest on Canada oil stocks, since I knew the market value went down at least 30% after March 2020. It is safe to play since soon or later it will recover. 

The small price change will have a significant impact once I purchase HSE.TO stock more than one thousand share at price $3.00 - $4.00, the share price goes up or down 1 cent, my position will have $20 dollars change. 

Actionable Items

I did not see big picture, and I did not know that it is important time for me to jump into HSE.TO when there is a big rebound SU.TO went up $4/ share, I should expect that vaccine news really started an uptrend for HSE.TO 100% rebound in less than one month. I did not take the risk of putting back my positions at all. 

I lost over $2000 dollars on HSE.TO when the share price dropped over 30% after Sept. 31, 2020. 

One of the ideas I like to try, for example, when HSE.TO price was the lowest one, instead of selling all positions, I should consider purchasing more shares. Avoid trading too often. Hold those shares for long term. Consider intrinsic value, not market value; Do not talk about market gain or loss, so that I can learn how HSE.TO stock works and stories behind the scenes. 

Another idea is to allow my capital to go down more than 30%, take more risk for me to have significant gains. 

Another idea is to learn how the market is irrational, try to work with my own emotions and learn to take 30% - 40% loss first. 

Expand my vocabulary

mortal - 

mortem 

post-mortem - different from mortal 

Follow up 

Oct. 20, 2023

Work on long term goal. 

I do not need to use those money so that I invest on HSE.TO stock. I could not purchase at the lowest price, so I just held those positions for another 3 years.