a 10-year experience Chinese stock trader lost all in 10 minutes

A

aqtrader

http://mp.weixin.qq.com/s?__biz=MjM...c1a&scene=2&from=timeline&isappinstalled=0#rd
This guy is just one of many Chinese stock traders. He shared his story on-line. He made a few millions in 10 years. Early this year he took a vacation for a few month without watching his brokerage account. When he came back, he saw the value of his stock was more than doubled and tripled. Great. money was so easy. Why not using a little bit of leverage. So, he started buying more on his margin account. Great time, the Chinese stock market roller coaster ride started early this month. He got a margin call and in 10 minutes before he even got time to response. His account was forced to close positions. Then, the market quickly jumped back huge. He lost almost all. The end of the story.
 
Don't see where he was a trader for 10 years (Looks like he had previously done some value investing without leverage)... seems he earned the inital money from a 100k / year job in Shanghai and being an entepreneur. Then in the bull market his account ran up from 1 million to over 3 million USD. And then lost it all. Also spent $250,000 to take his family on a 3-month worldwide vacation? The flood of money creation in China has created a lot of naive rich people... easy come, easy go.
 
Bummer for him, but if he could come up with the 100K stake in the first place once, odds are he can do it again and repeat without as much leverage this time.

And he had a cracking 250K holiday :)
 
Bulls make money, Bears make money -- Pigs, they get slaughtered.
bulls_make_money_bears_make_money_pigs_get_s.jpg
 
Trading is like Three Card Monty, the barriers to entry are low, and everybody thinks they have it figured out until they get punched in the face.

We have a lot of swaggering fools bragging about their full retard long positions in our markets, why should China be any different?
 
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