Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: fftrader who wrote (96700)	5/8/2000 9:16:00 PM
From: Jenna	Read Replies (2) \| Respond to of 120523

5% is high, but you have to know the STYLE of stocks I trade. They are fundamentally strong, and are in most cases with very high relative performance rankings undergoing corrections. These are the stocks most investors and institutions like to buy because they have accelerating earnings quarter after quarter, great prospects, a new market niche, etc. I like to give these stocks more room to 'recover' because I have seen myself stopped out of great stocks only to have them recover 15% or more without me aboard. If I'm trading on news or momentum alone, I would place a stop at 4%. I really do that from experience. A 1/2 point loss on a 40 buck stock means nothing to me. I'd rather take a 2 point loss and chance its recovery than take the 1/2 point loss and have the stock go to 50 or more. Of course there are big exceptions.. Today's market climate and a down market climate like today in general I'm sometimes out at 3% or before a stock triggers a stop because I don't like the way the trade is going. I was out of my two long positions today within 20 minutes (QLGC almost in 15 and EMLX quite bit longer, a few hours) but on the other hand I had 3 shorts that were doing great so I just left them. All in all I was down 9% today in long trades not including some profit losses from Friday's holds,(about 4% more) but up 23% in shorts. If I had got an uptick on QLGC which I shorted timely (QLGC was 83 1/4 on at the time but I couldn't get a short and didn't try hard enough) I would have catapulted my short plays quite a bit.