Mooer's Stories | Trading as a mirror, reflecting yourself

We're honored to invite Fiona @上海白砂糖, the champion of AU Papertrading Competition (Season 3), to share her investment story! 👏👏

Let's dive in:

When did you start investing? Who or what initially sparked your interest in the stock market and investing?

My interest in the stock market and investing began about three years ago. It all started with reading some classic literature on value investing, and later I delved into many books on technical analysis. These books were a significant factor in sparking my interest.

How would you describe your investment style? What type of investor are you?

I don't have a fixed investment style and am still exploring and searching. Nevertheless, I believe that the process of finding one's personal investment style is also a process of knowing oneself better. Ultimately, the investment style should be unified with one's personality, character, thoughts, and understanding of the world and the market. This process is quite challenging.

How do you operate during market fluctuations or downturns, bear markets? Do you have a specific risk management strategy?

My understanding of risk management is position management. After considering the probability of winning, odds, and efficiency, I will appropriately increase my position if it's a quality opportunity. Bear markets naturally form with the cooperation of various macro factors and human nature. Investing in bear and volatile markets is about finding alpha opportunities without beta support. My personal experience is that this type of investment is highly challenging, often like pulling chestnuts from the fire. Therefore, in a bear market, I try to minimize operations; if I must trade, I use a very small portion of my capital.

Can you share one of your most memorable trades? Whether this is memorable in terms of strategy execution or profit return.

I don't have the most memorable trade. The trading process is filled with too many ups and downs, so I can't pinpoint a particular transaction.

Can you describe the main strategy you used in the competition? How did you select stocks and determine entry timing in the competition? Is this stock selection strategy consistent with your real trading?

In this trading competition, I mainly traded popular stocks in the market, which have strong explosiveness. I also paid attention to market trends in the United States and China, focusing on the interconnectivity of various markets. Of course, I also considered the fundamentals and technicals of individual stocks. During the competition, I adopted a quick and short-term trading approach, with most operations relying purely on intuition. I think a significant part of achieving such returns was luck.

Were there any memorable moments during the competition? For example, a stock you almost sold that ended up bringing you most of the profits.

There were no particularly memorable moments. The competition was like a game, and participating was quite an enjoyable experience.

How did your previous trading experience (if any) help in this competition? How was it applied, for example, because you've had the experience of being trapped after entering at a high position, so you pay extra attention to this point?

My previous trading experience was helpful in this competition. I've encountered pitfalls in many aspects, and it's hard to list them all because there are too many. If you're reading these words, I want to say that I've experienced and felt all the difficulties and failures you can think of in investing and trading. Trading is indeed a game for losers, and all failures are linked to individual limitations and human nature.

Are there any specific indicators or tools that you frequently used in this competition? How good are these features in moomoo?

I look at moving averages (MA), trading volume, and chip structure (the ‘Trade Overview’ feature), and these indicators are very friendly to use in moomoo.

Moving averages are mainly used to judge the bullish or bearish situation over a specific period. Trading volume helps to judge the authenticity and sustainability of price trends, while chip structure helps to judge the behavior of major players and support & resistance levels. These are all factors to consider when making buying decisions.

I look at moving averages across multiple time frames, including 4-hour, daily, and weekly charts for individual stocks. The longer the time frame of the moving average, the higher its accuracy.

Personally, I prefer to buy stocks with a clear chip structure that have been adequately adjusted and have little selling pressure above.

What important experiences or insights did you gain from this competition, and what benefits do you think these experiences or insights can bring to other traders?

The mentality between simulated trading and real trading is very different. In simulated trading, it's more about the market's verification of individual rationality and intelligence. In real trading, it's more about the test of human nature and virtue.

From this interview, it feels that Fiona has a very intuitive understanding of investment, with a strong philosophical flavor revealed. Compared to investment logic & philosophy in books and real-time information & other investors' experience from community, which one is more helpful to your real trading?

I find both of these helpful. In real trading, books are the most helpful to me. Books themselves are a summary of other people's trading experiences. Investment logic and philosophy are the foundation, and I believe they are very helpful for stabilizing the mindset of traders.

I highly recommend Qing Ze's book "The Clarity of Being" (Cheng Ming Zhi Jing), which is largely influenced by Kant's philosophical thoughts, as he himself is a philosophy graduate. In addition, I find "Poor Charlie's Almanack" and "Phantom's Gift" to be very inspiring. These books serve as principle-based guidance for me.

We truly appreciate@上海白砂糖 for sharing her valuable and inspiring experience with us! Feel free to interact with Fiona if you have anything to say!

Disclaimer: This presentation is for information and educational use only and is not a recommendation or endorsement of any particular investment or investment strategy. Before investing, please consult a licensed professional. See this link for more information.