hey bob---i'll come out of the closet on this and let bernie and tom scold me as well they should.
here's what i've done in the past. XXX has an AIM directed sell target of $10. but, i've done my homework on this puppy and "know" it's been ready to explode and now it's ready to head straight to the moon. and, i'm a greedy sob.
so, i won't enter a gtc order at schwab for $10, gambling XXX is going to blow through that price. once it does and gets past $10, i'll then enter a gtc stop order @ $10.
concurrently, i'll enter a sell into AIM @ $10 and note what the new AIM directed sell point is. i'll then back the trade out and repeat the stop order process as XXX blows through it's next signal.
i "usually" will only do this a couple of times before really selling but once i have and the stock is still a rocket, i may repeat the process.
i've had a couple of instances where the stock has bounced down after blowing through the target and triggering the stop order and indeed, then, heading straight to the moon. haven't really lost anything when this happens and i "try" not to second guess myself. (i do!)
tom will tell you as he's told me many, many times: "take the profits off the table when your cash reserve isn't where it should be." and, he's right!!!
but, i'm cursed with a need to "tinker" and look for an edge wherever i can. and that is one of the reasons i love AIM. like my dog, five minutes after i yell at him he's back licking my hand. AIM is all knowing and all forgiving and no matter what you do, it will adjust and keep loving you even when you abuse it.
hope this helps,
abusive in atascadero |
