Don,
Whether you, I or anyone else in here has xx millions in other investment accounts is totally meaningless....that I might have generated xx percent in my long term investments does not excuse bad trading strategies in my trading accounts.
Let assume you have over a million dollars in investment accounts, you had over 200K in these two stocks, roughly 20% of your assets in two companies....Most mutual funds, by law, Can't have more than 5% of their assets in any one account.
Congratulations! I am truly glad that the position worked out for you. I would never want anything but the best success for anyone on these threads....but I have seen many, many trades, come and go. The truly successful TRADERS don't let mistakes like this happen again. They realize the risks they took, they realize how contra-disciplined it was, and try to never let a position like that get away again.
You bought the stock to go up....you bought a lot of it, relative to the account you were working with, relative to the performance you confident in. The stock didn't go up. You hung in there and let the position move away from you so that what could have been a small,meaningless loss at day's end, was now a big loss. You doubled down on less than a 15% correction in a market where high tech stocks have been getting crushed, down 50, 60, 70%....Those two stocks AMAT at 34 and RMBS at 55ish could have easily gone to 19 and 35, without blinking...
Like I said, I would rather be lucky than skilled, but you don't come to rely on luck.
Regards,
steve@yamner.com |
