Linda: I wouldn't be long now, either, but since I am, would you sell long positions at huge losses now?
I can NOT answer for you. I should NOT answer for you. However, I will tell you what I do.
When ever I take a position. I first determine three things:
1) An entry point
2) A stop loss
3) A profit point
If my profit point is reached, I usually take it. (No one ever went broke taking profits.) However, if I believe strongly that the price move will continue in my favor, I move my stop loss closer and trail it.
If my stop loss is ever reached, I close my position ASAP, period!
This minimizes my losers while maximizing my winners.
If the trade goes against me and I get stopped out, I can always take a new position at a lower price or even a higher price for that matter. Of course, the reason most do not exist a bad position is the fear they will take the loss just before the price reverses and moves in the desired direction. This one fear is why most people loose big in a bad trade!
BWDIK
Regards,
LG |
