[9/27 (Sun) Tokyo Held] Stock Trade Support Tool Stock630 Renewal Commemoration Seminar
<Seminar Content>
Part 1
Kitachan explains the appeal of contrarian trading
Part 2
We created a trading support tool for contrarian trading
There is a 30-day free trial app available from that day.
If possible, please bring a Windows OS PC.
[For those bringing a Windows PC only]
Stock630 app as a seminar participant benefit
Setup and initial configuration free support,
and clear instruction on how to use it on your own computer.
Part 1 Kitachan explains the appeal of contrarian trading
What makes amateur trend-following trading different from professional contrarian trading
In the world of stock investing, where 90% of individual investors are said to lose, the numbers are still too high.
Short-term stock trading is a zero-sum game, so the win rate should converge to 50%.
It doesn’t because people buy at highs in trend-following trading.
Prices are moving.
Humans tend to judge that what’s rising will rise further and what’s falling will fall further.
Novice investors, seeing this, feel the urge to buy as it rises, thinking they must buy now.
Professional investors learn from experience that what rises will eventually fall, and what falls will eventually rise, and they are trained to buy on the dips.
By understanding the logic and training, you can trade like a professional investor.
Contrarian trading requires planned averaging-down purchases
As the market saying goes, “Don’t catch a falling knife,”
In a sharp decline, it’s impossible to predict how far prices will fall.
In a capitally pessimistic shock market, declines of 40% to 50% are common.
However, there is more to the proverb: “Don’t pick up a knife that has fallen to the floor.”
The market always hits a bottom after any shock.
Therefore, risk management that anticipates averaging-down from the start is necessary.
By planning for at least one averaging-down purchase, you can calmly pick up the knife when it sticks.
Contrarian trading is about risk management through diversification
Most rising stocks may suddenly plunge due to solid earnings or worsening external conditions.
Some popular stocks may plunge after overbidding, and even when you think you’ve hit the bottom, they can fall further.
Also, some stocks rebound strongly while others do not; it’s a mix of winners and losers.
Among those stocks, choosing one or two to buy can either yield extremely high win rates or low ones.
Diversifying purchases across multiple issues smooths the overall performance even if one or two bad picks slip in.
The strongest trading method is to buy contrarian and profit from trend-following
The best trading is to buy on the contrarian side and then let profits grow with a trend-following approach.
Almost all world-renowned investors use this trading method.
It would be a waste to take profits too easily on stocks bought at low prices.
Among multiple stocks, diligently follow those with expanding profits.
To do that, you need to understand correct trend-following trading.
It’s not difficult. You only need to read technicals and fundamentals.
Part 2 We created a trading support tool for contrarian trading
Stock630 embodies Kitachan’s contrarian trading theory.
In rapid decline moments across the market, it wins with over 90% probability.
Win rate 92.4% during the December 2018 Christmas Shock
Win rate 93.4% during the March 2020 Corona Shock
As the market saying goes, “Pessimism is buying,” you win by picking the most severely dropped stocks.
Please start the app to experience its excellence in practice.
On the day, you can download the 30-day free version of the app.
If you wish, please bring a Windows OS-equipped computer.
Register here