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In the stock market, stock prices are always moving in different patterns, whether it goes up steadily or it stays stagnant for quite a long time, before surging up to a new high. These two are just some example where investors like the most.

However, what caused the stock price to move differently? Companies actually has little to no control over the share price since management will not sell their shares easily. Hence, the factors that are affecting the share price fluctuation are actually the different buying and sell pressure from investors, either retailers or institutional.

If there are less investors participating in the buying and selling activities, the price will mostly stay stagnant for a long period of time, before some other investors realise the potential of a stock. On the other hand, if investors are looking forward to buy the shares of the stock, the share price will soar as more people are more willing to buy the stock, without concerning the price.

The examples given below are PENTA and SCIENTX. PENTA is a growth company that has maintained their growth for the past 10 years. As we can see from its price movement, that PENTA is slowly but surely, moving upwards, which means most investors will love to buy this stock regardless of how expensive the share price will be. On the other hand, SCIENTX has been stagnant for around three years, where its previous high is at RM9.5+, and keep hitting the same bottle neck for the past three years, and only breakthrough it recently, due to fantastic result.

However, these two types of movement will have their own risks. If investors look through their price movement, PENTA will have a higher fluctuation and can drop a lot in a week, but also rebound quicker. This is due to its relatively higher PE ratio and the investors’ emotions. On the other hand, SCIENTX will remain stagnant even if the market condition is bad due to its low volume and low PE ratio, but not much capital gain will be obtained by the investors.

In short, investors should always prevent themselves from buying at a high point, and provide themselves a fairly decent margin of safety. Besides, it is important to not allow emotions take over you, affecting your decision making that may end up causing you suffering from losses. Do remember that share price is only affected by investors but not business itself. If the business prospect is still very attractive, it is worth keeping it for a longer term.

在股市中,股价总是以不同的方式浮动,有可能慢慢地上升,也可能在横摆很长时间后报复性上涨。这两种也只是投资者比较喜欢的两种走势而已,还有许多的股价走势并不能完全概括。

那什么会影响股价的走势呢?公司本身其实并没有太多的掌控权,因为管理层也不能随便卖票。所以真正影响股价走势的是在买卖的投资者,无论是散户或者基金都好。

如果较少的投资者参与一个股的买卖,那这只股便会横摆一段时间,直到有投资者留意到了这只股的潜能时,才会有所波动。另一方面,如果投资者很看好某个股的时候,在买家更多的情况下,股价便会屡屡上升,因为投资者并不太在意股价本身而在意的是他们的未来。

我们拿PENTA和SCIENTX来举例。PENTA是一个成长型公司,而它也在这十年间不断成长。我们也可以看到他们股价的走势是一点一点往上爬的,这也代表着投资者不会太在意价钱而买的是公司的未来。相对的,SCIENTX的股价在这三年里面并没有太大的变化,都是顶在RM9.50左右的瓶颈。这个情况直到最近的季报出炉后,它的股价才有了报复性地上涨。

但是,这两种的走势都有自己的风险。如果我们仔细看他们的走势时,PENTA会有较大的浮动,而他也可以在一个星期里面下跌很多,尽管它能够很快的回弹。这是因为PENTA的本益比比较高,而投资者也会受到情绪上的波动来做出买卖,从而大幅度的影响股价。相对的,SCIENTX的浮动会基于低本益比和交易量的关系来得低。虽然股价即使在大势颠簸的时候也不怎么影响,但是投资者也较难从中获取股价上的赚益。

总结,投资者必须避免自己买在较高的股价,来让自己有更好的安全边际。除此之外,投资者必须避免自己被情绪所影响,不然自己所做的决定有机会让自己蒙受亏损。大家也必须知道股价的波动其实并不会影响生意,所以当你看好一只股的未来前景时,便可以考虑将它长期收着。

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