>i can't seem to find the nerve to play stocks like cmgi
stuart,
I think you also mentioned in an earlier post that you can't handle 20-30 point swings. Two suggestions that might help if you really want to play volatile [Internet-type] stocks...
1) Look at it, not as a 20-30 point swing, but as a percentage movement. A 20-30 point move on a $250 stock is about a 10% swing. That would be similar to about a 2-3 point move on a $25 stock.
2) Invest less money. Nothing says you can't buy, say for example, 2 shares of a $250 stock. If you did, then a 20-30 point, or 10% move, would be only about 50 bucks one way or the other. Not so scary, huh?
Those are just a couple of thoughts I had. If they help, fine. If not, oh well.
BTW, I learned my lesson by shorting CMGI about 3 times many months ago, and lost my ass each time I tried it. I failed to match my dollar investment to the potential for volatility. And it was a gut-wrenching experience. I'll not do that again. <g>
Ice |
