It appears that this CONCEPT of owning TWO positions in a stock is very hard for some to GRASP. Since for some, it IS hard to grasp, then they place a TAG on the investor as a hypester if that investor also has a CORE position for holding and another position for TRADING to simply take advantages of the spikes. Seems, some think it is a terrible thing to be taking profits in a stock which one also post very positive about, even if that person has been publicly open about this issue the entire time.
So I am posting these comments in order to refer anyone who chooses to ponder it.
The stock I will be refering to will be Fonar Corp. (FONR), as I have owned and traded this stock the entire time since 1994. FONR is the only stock I can make the statement "Entire Time."Now, I usually don't try to trade the small price swings of .06 cents to .10 cents , I ought to but I usually don't, although I have at times.
I traded the last two runs in FONR from $1.06 to $2 and I traded this last move from $1.06 to $1.50. NO, I do not usually buy at the very bottom, and sell at the very top Bid, I try and hope but it is not a likely thing to happen, however, I have been lucky enough to do that a few times in a few stocks but don't expect it and if it happens, then be thankful.
If an investor has the confidence, thinks he/she knows well enough how the stock trades, holding a CORE (not to be traded) position, yet also has TRADING shares (shares designated to be sold for a profit on any STALL because if it stalls it's likely gonna FALL :), never seen it fail yet, on ANY stock.
My strategy on TRADING shares is very simple: I personally like to own at least 10,000 trading shares in a stock, with FONR that number has grown higher than 10,000 because of accumulation of TOTAL shares over all.
With FONR I started out with only 3,000 TRADING shares, keep in mind that I am speaking of starting in a stock with intentions to TAKE profits and if, over time, I become convinved that this particular stock has a lot of future potential, I will begin to accumulate a CORE position.
As an example:
By the time Hiticha settled on opening arguments and the jury came in about 10:00 am on that Friday morning I was holding much more than the original 3,000 shares. I sold ALL at $3.78 on that run to $4.50. I seldom Place a Market Order but I did that day because $1.50 profit per share profit was good enough for me, especially in just a few months. You see,. Pigs get FAT but HOGS get slaughtered and I'm just like that old hound dog you see trotting down the road with his ribs showing and his back bone protruding. Offer that old dog a piece of country cured ham meat and SEE what happens, better draw your hand back quick or you'll draw back a NUB......
You know, as smart as many folks think they are, it now appears to me that many investors just flat find it VERY hard to TAKE a profit because they allow GREED to control better judgement & common sense. What seems even harder, is this CONCEPT of owning TWO positions in the
SAME stock, deeming one a CORE and the other designated for TRADING on any opportunity for profit. I realize some folks haven't reached the financial status to do that even in one stock much less 2 or 3 or more. Well, neither was I only a few years ago and THAT is WHY when I started my only objective was TAKE a profit WHEN I was presented the opportunity and DO IT EVERY TIME.
Later and as confidence grew in FONR, I begin to accumulate a CORE position to be HELD long term. I accomplished this with those profits from TRADING the stock and with profits from other stock trades, I love to TRADE anyway. I do not consider myself a day trader but give me enough percent on my trading position and remember the hound dog with ribs showing? ;)
I do not see ONE SINGLE THING wrong with this strategy, while at the SAME TIME also holding that CORE position for longer term and being confident, positive and excited that at some point that CORE position will make a GRAND SLAM for me. I have that confidence in Fonar and
perhaps the Fonar pitcher who will throw that grand slam pitch is walking to the mound even now. Perhaps this is the inning when that Grand Slam pitch will be thrown. I don't know when but until it
happens or until I strike out, I will play in this ball game and I will personally come out a winner regardless of who wins the game.
I recieved an e-mail which commented "I see you are taking some heat on SI for trading Fonar." Well, very likely The REASON I am taking HEAT is JEALOUSLY, pure and simple JEALOUSLY, in that I did and they did NOT.
I'm not educated, which is all the more reason I want try to LEARN how others achieve success. I would be taking NOTES and trying to mimic those strategies which I SEE works. BUT some (I can't figure out why) had rather whine and shift their mistakes as being the fault of the company or someone else. That is just human nature and until one learns to shift that energy to something productive and positive, then they will remain on TOP of NOTHING. Like spending a huge amount
of time, effort and energy climbing to reach the top of a pile of garbage. They Achieve the goal of getting to the TOP of NOTHING worthwhile..........................
I am NOT trying to portray myself as a great stock trader, I did take a small amount and turn that into a measure of successs. Some will view this as a boasting and throw it on that garbage heap, however, perhaps there will be some, even one, small investor who will say,
"by doggies, I'm gonna just try a little of that, even if I only do it on paper and just SEE if it works." If works on paper, it WILL work in REAL investing/trading also, with the only difference being, will
the individual have enough risk tolerance to TRY it with REAL CASH (VBG)
Let the rocks fly at me from every direction but I know for whence I came but this Redneck will dance with the one what brung me ;)
Regards,
Malcolm |
