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You are welcomed March74! Glad that you got your question answered! I am not sure on whether there are any brokerage firms allowing up to maximum T+3 days to change payment mode. I was earlier just suggesting you could find out more whether your brokerage firm allows even up to T+3 days to change payment mode.
march74 ( Date: 22-Mar-2017 13:59) Posted:
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However having said that, even if you made a loss on a trade, my humble opinion is that it is not wise to hold on to your losses if your intention is only for short term trades and not long term investment in a particular counter. Even if it is CPF money which you cannot touch now, it is also your hard earned money. And I am sure you wouldn' t want to lose your CPF money.
Many people confuse themselves whether they are a short term trader or long term investor. When making a buy or sell decision, at that point in time you have to decide whether your decision is based on a short term trading decision or long term investment decision. Because, that in itself will determine why you are making that buy and sell decision. It is when a person is confused and do not know whether he or she is making that particular buy or sell decision based on short term trading or long term investment that will cause confusion and carry out wrong actions which can result in financial losses.
If one is making a short term trading decision, then stick to the system and rules of short term trading. Be fast, swift, decisive, yet composed having your stop loss and take profit targets set well beforehand. That means plan your trade before you trade and stick to it no matter what. This is because trading works on the principle of maths and probability. What a trader is trying to achieve is to get a high hit rate (at least more than 50% successes out of all trades excecuted) and maximise profits on all the hits while minimising losses on all the losing trades. Chart reading and other tools of the trade to interpret market behaviours are used to hopefully secure a higher hit rate.
So if one sticks to a good trading system, one is working by mathematics and probability to make money from the stocks market. Just that most traders are not able to achieve consistency in their trading system. This is because most of the time, the big obstacle and hurdle is none other than the trader himself who does not stick to and operate strictly by his system.
If one is going by long term investment in making a buy or sell decision, then stick to a proven investment philosophy, method and practice. Again, consistency in following the proven system is needed to make money.
Thus, be clear whether one is doing a short term trade or long term investment. No use deceiving oneself should a trade turn against oneself and then one converts it into a long term investment. This is definitely not advisable. If it is a short term trade turned sour, then cut loss according to plan. If it is meant to be a long term investment decision, then hold for longer term through the volatilities in the market and carefully build up one' s position in a good company at good value prices and only sell when the time is right according to one' s long term investment principles and practice.
jeremyow ( Date: 22-Mar-2017 13:52) Posted:
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You should check with your broker whether your brokerage firm allows this change in payment mode from CPF to cash if the change is notified within the same trading day or even before T+3 days when the payment comes due.
march74 ( Date: 22-Mar-2017 13:34) Posted:
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