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 : Your Worst Trading Enemy.. You -- Ignore unavailable to you. Want to Upgrade?

To: Fun-da-Mental#1 who wrote (48)	1/16/2001 8:44:22 PM
From: Steve Felix	Read Replies (2) \| Respond to of 223

Fun-da-Mental#1, IMHO the guy who came up with "the principle of "buy low, sell high"." has been broke for a long time now. Buy high, sell higher or sell low, buy lower works much better for me.

To: Fun-da-Mental#1 who wrote (48)	1/17/2001 6:37:52 AM
From: shawnwolff	Respond to of 223

To: Fun-da-Mental#1 Re: "Buy Low, Sell High" The principle "buy low, sell high" assumes that you are in fact buying low, and the stock does in fact move up. Any trader worth their salt knows that we are not always right about our trades though. In the event that we are not correct in our assessment of a trade, we need a back-up plan. We MUST define our risk in every trade. If we play it by ear, using inconsistent strategies, sometimes using a stop, sometimes not, then the results in our overall trading will be just as inconsistent. In my experience, there are no circumstances where it is better to not keep a stop. If someone else knows of one, perhaps they could enlighten me. It is however, important to know where to set that stop, and that will greatly depend on the time-frame of the trade, the potential of the trade, and your risk tolerance. But if we are not willing at some point to admit we are wrong, cut losses, and "say uncle" our bull-headedness will at some point wipe us out. - Shawn