nikoschopen
2,824 posts
msg #52311
- Ignore nikoschopen |
6/19/2007 2:04:28 PM
"how many have you held for triple digit gains thats the real question?"
As you may know, I'm just a humble daytrader with a very modest goal. I must confess, however, that I did reasonably well in the previous year.
"Its your right to put me on ignore if you so choose."
Why the hell would I want to do that? I love you to death.
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rtucker
318 posts
msg #52313
- Ignore rtucker |
6/19/2007 2:40:53 PM
as214,
Sorry for my error. But the question remains, and, please be so kind to answer, not for my sake, but because you do tout yourself as a teacher to new investors. Where was your stop on ZEUS ?
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as214
184 posts
msg #52314
- Ignore as214 |
6/19/2007 2:57:49 PM
I don't use stops. Many investors dont. If I buy something that is trading at roughly half of its true worth at an incredible margin of safety for no reason other than the market has misappraised it, why would I sell it if it became an even bigger bargain? If it went down a few % points I reevaluate(insider sales/buys, scandals, lawsuits, etc.) then hold firm to my convictions! Now if Im playing around and making some short term cash then Ill set a stop but it will be a mental stop. It wont be based on any indicator. It will be a predetermined price established at the time of purchase!
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nikoschopen
2,824 posts
msg #52315
- Ignore nikoschopen |
6/19/2007 2:59:16 PM
rtucker,
Doesn't the thread name, aptly called "Yet another reason why stop losses are a fools game!", answer that very question? All in the name of being an "investor", as214 assumes he's immune from any downside risk. In my not so humble opinion, dumb-luck usually don't strike twice. :*)
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as214
184 posts
msg #52320
- Ignore as214 |
6/19/2007 3:41:33 PM
I buy pieces of companies, not squiggles on charts.Count me amongst legion of investors who believe the market is always efficient have no reason to use stop-loss orders. If the market price is always the "correct" price, then every stock will provide the proper risk-adjusted return at all times. There is no reason to switch to other stocks or cash unless an investor wants to change his or her risk level, but this decision is not affected by price changes, either. Remember, a stop-loss order is an action driven by price changes, which means putting the cart before the horse.
You may think it silly for me not to use stop losses , but from my point of view its silly to think that over the long haul youll have more success short term trading than Jesse Livermore..who ended up broke by the way with a self-induced bullet in his head. There is a reason why the wealthiest people are investors!
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nikoschopen
2,824 posts
msg #52322
- Ignore nikoschopen |
6/19/2007 4:41:38 PM
Damn, I swear I heard that one before. I wonder where?
So, am I to understand that you've never once had a losing trade and whatever loser you might otherwise have had in ure portfolio eventually took care of itself in the long run, even during the full-fledged bear market (circa 2000-03)?
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as214
184 posts
msg #52324
- Ignore as214 |
6/19/2007 5:02:53 PM
Ive sold one time at a loss due to an options scandal. Bear market 2000-2003 were good to me with tobacco stocks! Prior to that when I use to short term trade ..I got stopped out quite a few times!
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alf44
2,025 posts
msg #52343
- Ignore alf44 |
6/20/2007 12:07:25 AM
"Ive sold ONE TIME at a loss due to an options scandal"
-------------------------------
ROFLMFAO !!!
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nikoschopen
2,824 posts
msg #52350
- Ignore nikoschopen |
6/20/2007 12:34:29 PM
Well, in principal, you don't declare a loss unless you actually sell the equity. So theoretically you could be sitting on a pile of losses but as long as it's not written off the book who's to say you have a loss?
At any rate, it look as if the airlines are getting a new lease on life. UAUA up another 1.77% today.
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