North America Calls for Chinese Financial Gurus

                  少年

"一個漁夫在寒冷的海邊撒網；
 
  兒子在幫他。
 
  少年，不要打魚吧！
 
  另一個網等著你，另一種職務：
 
   你將網羅智慧，作帝王的助手!"

                --- 普希金  1830 

All financial successes like one another; each monetary failure failed in its own way. Before met John, I always suspected hard working could contribute considerably to fiscal success since I believe we are all ordinaries.

This summer term, I, a student who study accounting at M University, was taking out my supper from a microwave at seventh floor of the university’s hall building, a man passed by and said, “Hi, have we met before in the former class?” “Yes, I sit just behind you in the past business law class.” I remembered this young student with near half white hairs.

After sitting down, I asked him, “Do you come from Hunan province of China?” “How do you know?” he was a little surprised. “You look like a Hunanese.” When he was drinking his juice, we began to talk about our courses. “Well, my name is John, can you tell me why do you choose accounting?” he demanded. “It's easy to find a job since every company need an accountant, it's my helpless choice.” I smiled forcedly.

“How about you? Why do you choose finance?”

“I thought accounting deals with the past, while finance deals with the future.” He laughed and continued, “Do you know I have started my own business called ‘Peony Investment’?”

“How does it work?” I pushed forward a bit.

“I sell and buy stocks and options in the U.S. and Canadian markets.”

“It is very risky to trade shares and options.” I remembered my investment on stocks still suffered thirty percent losses.

“Yes, you are right,” John nodded, “but if you could control risks-cut loss on time, and let profits go, you can not miss it.”

“How could you do it? Since stock prices are rambled up and down stochastically.” I asked curiously.

“You are half right, for those who mastered the regularities of fluctuation, stock prices are not random.” He explained, “The markets are always controlled by market makers, but don’t forget they are all humans, and want to win. For market makers, it does not matter how low or high the stock prices will go, but if you could conquer our negative personalities such as greedy and fear, it is unlikely to suffer a loss.” John said with conviction.

“Could you speak more concrete? Fundamental analysis or technical analysis, which one do you prefer? ” I know a little about it.

“Technical analysis, it's based on the assumption which claims stock price discounts all information.” He continued, “In order to find the first signal of turn around of the trends, I applied a lot of formulae to help me, I used to work until midnight to edit those formulae. For example, Commodity Channel Index reflects the degree of cyclical turns in commodities, she is very sensitive, and I used it to identify very short-term trends. I also used On Balance Volume to determine mid-term trends. Lastly, Money Flow Indicator can also help me to identify a head or a bottom. ”

“Do you think you can hit the market by these indicators?” I put down my spoon and asked.

“Yes, I seldom suffered a loss after applying them, the only thing is to enlarge my profits. That required higher skills of trading and full knowledge of humanities. My dream is to purchase one U.S bank, and I believe it will come true by the power of compound interest.”

“North America calls for Chinese financial gurus.” He added.