anyway, when the naz dipped from 5k to 3.5k earlier this year, the person i knew lost nearly $400k and locked in the loss b/c he had to sell positions. a BIG, BIG winner either lost it all or turned into a net loser - i don't know which. i hope he didn't lose as much as he made.
More than being "wrong" in his/her stance (i.e. bull or bear), this example tells me that the person you are talking about has no "structured system" (even if it is voodoo).
Obviously I am merely expressing an opinion based on what you are telling me only, but I am trying to express how important is to establish a structure, a system, before going off on a wild hunt in the Wall Street jungle.
Was the $400 K a net loss ? or was it a former profit that vanished ?
My point being...
Please consider, I have no idea of the portfolio size, but if I have a paper profit of 400K, if such is the case, (and I insist in not taking a dime in profits), I think I deserve to be hit as you described.
Unless my speculation is for even larger figures. [and obviously, I am capable of affording it].
But under "normal" (whatever that may mean), circumstances, I think that at least taking some profits seemed logical to me. Then again, it takes all sorts. It gives me the impression in this case, profits should have been taken.
No longer will I consider anything... too unusual, or too uncommon. Nothing surprises me any more, we humans are capable of all sorts of extremes.
The good, the bad and the ugly is not only a movie. It is human nature.
p.s. Just read the LU thread... it is sad, ugly, and even funny at times, but... no one was pointing a gun at anybody, all trades were "fair trades".
I was heavily invested in LU (I loved the premiums when volatility allowed). Then I started looking for greener pastures when the premiums became thiner. I got "called away" about 10 months ago or so... (I do not remember exactly). Never re-established the position.
Please ask me :
Are you glad you were out of Lu ?
I shall say... Lady Lucy became Lucretia McEvil, before I date her again, she needs to visit the shrink ! And "SHRINK" she has !! perhaps it is time again... I do not rally know, but I am looking closer. |
