Wrong decision to sell all my chinese stocks.

Last Wednesday night, I did a very stupid decision to dump all of my Chinese stocks. The next day, the government there declared their policy to save the market. After that, all the stocks soared up 10% in the coming trading day. So, I lost 10% immediately.

The lesson I learned from this is that whenever I made a trading decision, I should collect all the pros and cons. Then choose a most suitable one.

For example, on that day, although I knew the market is going to be tumble. But I forgot to consider a) from the technical part, Shanghai index has been far away from the 5-day and 10-day moving average, b) some government officials have signaled that there would some decisions to save the market.

So, from now on, whenever I start to do any transaction, I'll consider the following factors:

1) P/E ratio
2) Industry
3) Government policy.
4) Technical indicator.