Within one week of my blog post on UEM bull run. Share prices of companies under the UEM group attracted strong buying interest on Monday. Nanyang Daily also reported that there is a rumours in the market said that the government might take UEM World private.
However, the question is whether the shares price bull run is sustainable? Sustainability of shares price, of course will depend on whether the rumour on Ninth Malaysian Plan is truth.
One of my friend told me that during 1993 stock market bull run. He punt share counter of Renong and UEM. He start with very low capital....less than RM1,000. He play rotationally just two counter for the whole 1993. For a tiny RM1,000, he able to accumulated more than RM1 million. However, the RM1,000,000 he make during 1993 stock market bull run slowly depleted between 1994 to 1997 and has been completely wipe out after Asian financial crisis around 1998.
If he stop punting in the stock market after 1993. He must able to keep his wealth.
If market rumuor on Ninth Malaysian plan is truth, and you find it difficult to invest in stock market as you do not know which counter to buy, or you have difficulties in prediction of next concept play. You can just focus on two counter and play it rotationally. Would history repeated itself is any body guess?
TechnoratiTag:Business Commentary Economics Economy Malaysia Opinion Shares Stock Market
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