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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?


To: Fiscally Conservative who wrote (87958)6/13/2009 8:24:21 PM
From: clochard  Read Replies (1) | Respond to of 94695
 
The market is always right but maybe capitalism died.



To: Fiscally Conservative who wrote (87958)6/14/2009 1:36:45 PM
From: GROUND ZERO™  Read Replies (2) | Respond to of 94695
 
I'm not sure I understand what you're asking, but the biggest thing is capital preservation... if you lose your money, then you're out of the game... risk is something very personal, it depends on one's pain tolerance and comfort level... some people could handle the psychological and emotional assault that come with risk, some can't... I guess a financial advisor would tell you that one should not risk more than some fixed percentage based on age or whatever, but if you feel very comfortable about one or another trade, then it's certainly worth a little extra risk...

Overall, I think the BEST advice is never trade as much as you can handle, always hold less than you think you could otherwise hold, you should have the feeling that you could add more, but don't... this way, if the trade goes sour, and they often do, then you won't feel like you lost all your money on just one "horse race"...

GZ