| | | I'm with Jurgis here. It's not always a step function buy for me, i.e. it's not Don't buy at 31, do buy at 30. It's often murky for me. Sometimes I'll get impatient and buy when the stock approaches my buy price or when it drops in my value box, but when I still have the distinct impression the drop isn't over.
When I look at a stock I own, I don't automatically say it's either a buy or it's a sell-- decide which. There is a holding period (for me, in my view) which I am ususally willing to accept.
I don't claim to be consistent in my approach-- I can be emotional also. Since I often buy down, the stock I buy at $30 (where I believe it's a value stock and where I wouldn't/didn't buy it at $31, could drop to $25, $20 for example. Somewhere in there, I'd be looking and reconsidering. If I believed it was still a good value I would be adding more. Maybe several additional buys as the stock drops.
Say the stock at some point begins to recover. Here's what I might do: If the stock reaches $30 again, I might be a seller of at least some shares (even though at $30 it's a value buy in my view). It is something (emotional) about grabbing hold of some profits, perhaps maybe reducing a large position that I didn't expect to accumulate. Maybe just relief that the stock has recovered. (YARIY is example whre Ive done this.)
Just how I look at it. Not saying it's correct or for anybody else. |
|
