| | | All my GTC buys are meant to be held for longer term. But my sell time has to do with my business outlook and how high they have gone rather than a preset time period.
I have two types of GTC buys: testing the waters, and committed. The majority start as testing the waters. This means that at some point in time I decided this stock is interesting and if it hits my buy target, I want to take a position to check them out. If I like how they look at the fill time, then I will put in more buy orders (likely at lower prices in this market, or build up on them as they go up). But if they hit my buy target for good reasons (i.e. things have gotten too bad for them) then I will sell them (typically at no loss since they tend to bounce from my GTC targets).
A few are committed orders. XBI was in that camp. If you recall I kept doubling my position for every 20% drop and ultimately I sold it (very prematurely) for a 30% gain. Right now INTC, PHG, and now NOPMF, are in that camp. I will keep buying increasingly larger positions as they drop. In case of INTC, it is paying 5% div, so it's not an idle position.
I closed my BFLY position when it went to the moon. But I have GTC buys for it (as I mentioned when I reported on selling it) which I will commit to if I am lucky enough for it to keep falling (rather unlikely, but you never know).
In summary GTC orders are placed for companies that I liked when I placed the order, but my exit is decided by business outlook and risk/rewards. In general I mean to keep them for months or years, but I won't keep them just for the sake of it if I see the conditions not warranting it. |
|
