Thanks for the post Mark - excellent information.
Some thoughts on LPTH and setting stops:
Buying at 36 1/2 and setting a 10% stop, you have about 33 1/4. Almost stopped out today, and probably for sure tomorrow. Why do I say for sure - look at the price range today: 33 3/8 to 36 3/4.
So, back to the scenario for the person who works during the day and cannot keep up with the market. He/she maintains the stop, gets stopped out tomorrow, and comes home to find out that LPTH closed at 34 1/2 with a range of 31 1/2 to 35 1/2.
There is an inherent difficulty in trading such stocks if you cannot monitor them minute by minute. So what do you do? (By the way, I don't have THE answer, but a basic suggestion.)
In the above situation, which I happen to be in, I base my decision not on the TA, but on the FA and the prospects of the company itself. However, I will reevaluate on a daily basis.
Rande - here is a thought for insighters.com:
A section entitled: "Stocks set to double in the next 90 days" for the daytime workers who cannot watch every minute. The section could be filled with DD on many stocks and the TA guys could help pick entry points and targets. Then the individual investor can research the potential companies, select a few of them for his/her more risky portfolio, set limit buys, sells and stops (unless your like me w/LPTH and don't want to be stopped out.)
And another section based on a 6-12 month outlook. And another, and another .. LOL!
Thanks Mark for the input - when I do check during the day, I come here first.
Paullie |
