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Neil Donaldson's avatar

I know exactly what you mean Mike as I have the same 'issues'.

I am very good at defense plays now, each time I buy a stock, I'm hoping it will fly but then I realise it will be one of the 60% or more that will lose. It is tough on the psychology.

The one thing that gives a bit of comfort is that when I run my system backtest (just to see how it is comparing against my actual) it is also showing the longest drawdown in 25 years.

It seems strange as the market in Australia touched highs during the week.

The market here is driven by a few large cap stocks, CBA being by far the biggest. The worlds most expensive bank (fundamentally).

Australia's market it split between banking and mining and a few large medical.

So, my system is not invested in those areas.

I know it's just a case of pulling out the weeds in the portfolio and letting the flowers grow.

For every 3 I plant, 2 will need to be removed.

Think positive and keep repeating a tested process is all we can do.

Regards

Neil

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Steve's avatar

Wow! Very empowering! Thank you for posting this!

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