🚨 I Lost $4,980 in 2 Months: 27 Stock Terms That Could’ve Saved Me
Back then, I called it investing—turns out, I was just gambling.
This is a survival guide written in blood… to help protect your account before it’s too late.
📅 October 2023 — I dumped $5,000 into stocks after 3 months of YouTube binge-learning.
- “PER of 3? That’s cheap, right?”
- “It dropped a lot. Gotta go up soon!”
- “Short selling? What’s that?”
- “Dividends = free money, no?”
...And then, boom — $4,980 loss in just 2 months.
1️⃣ “PER of 3? Let’s go!” → Delisted 3 months later
I saw a stock with a PER of 3. Compared it to Samsung’s PER 10. Thought I hit a goldmine. I went all-in. Result? -72% loss + delisting.
| Term | Meaning | What I Learned |
|---|---|---|
| PER | Price ÷ Earnings per Share (EPS) | Low PER can mean “undervalued” but could also signal a dying company |
| EPS | Earnings per one share | Falling EPS distorts PER. It's a red flag, not a discount tag |
2️⃣ “It dropped so much—it’s cheap now!” → Nope, it dropped more
Bought a stock at 800 KRW (from 2,000 KRW). Looked like a bargain.
Three weeks later: 300 KRW and trading suspended.
| Term | Description | Real-World Rule |
|---|---|---|
| Open/High/Low/Close | Daily price range | Closing lower than opening = downtrend |
| Volume | Number of shares traded | Price rising without volume = fake breakout |
| Support/Resistance | Common stopping zones | Once support breaks, expect a fall |
3️⃣ “Why are foreigners selling?” → Short selling trap
Kept falling, I kept buying.
Turns out, it was on the short-sell top 5 list.
5 days straight—limit down.
| Term | Description | Pro Tip |
|---|---|---|
| Short Selling | Selling borrowed stocks, then buying them back cheaper | Check the short-sell rankings before entering a falling stock |
| Disclosure | Official financial announcements | Big moves often happen before public disclosure |
4️⃣ “Bounced on 60-day MA?” → I sold there… then it doubled
I panicked and sold right at the bounce. 2 weeks later? It doubled.
| Term | Description | How to Use |
|---|---|---|
| Moving Average (MA) | Average price over a time period | 60-day MA is a strong support/resistance zone |
| RSI | Relative Strength Index | Below 30? Could be near the bottom |
5️⃣ “Dividend stocks = easy profit” → Nope, stock dropped next day
Bought a high dividend stock in December. Got the dividend... but the stock dropped 6% the next day. Net result? -3% total loss.
| Term | Description | Warning |
|---|---|---|
| Dividend | Company shares profits with shareholders | Price drops on ex-dividend date |
| Dividend Yield | Dividend ÷ Stock Price | High yield can mean high risk |
6️⃣ “Forget the chart—check the numbers”
Eventually realized that price only goes up if the business is good.
| Term | Description | Investor Insight |
|---|---|---|
| PBR | Price ÷ Book Value per Share | <1 may indicate undervaluation—unless it’s a value trap |
| ROE | Return on Equity | 10%+ is considered strong |
| Debt Ratio | Debt ÷ Equity | 100% or below is safe; 300%+ = danger |
🧠 Final Takeaways: 3 Survival Truths
- Every term = one lifeline. Not knowing them = 10x more likely to lose money.
- Chart + numbers = true insight. Charts show emotion. Numbers show reality.
- News, disclosures, and volume must be checked daily. 10 minutes a day can save your portfolio.
📌 If you’re reading this now…
This is based on my actual -₩4,980,000 loss in late 2023. After learning these basics, I recovered to a +24.6% return.
Let this post save you the ₩4,980,000 tuition I paid to the market.
