The market indexes and individual stocks will act just like a pendulum.
Over react in either direction.
That's what Jdsu did last week on the down side.
Perhaps now it will swing back to an average middle or to far to the upside depending on momentum..
I don't trade in and out and I don't pay attention to daily prices.
Buy and hold medium time frame, don't trade in and out and don't buy more shares than I can afford to loose but enough so that if I am correct I will do handsomely well..
Those who message me at my personal email (chuck), to say lol... at a $2 drop from $15 to $13 can continue to do so. I am un phased by swings and have a time frame to sell regardless of action.
$20 by the summer on Jdsu. Whether that be June or September I don't know and don't care since I am confident it will happen. If it doesn't, I am in at average around $10 and have a sell limit slightly below that number which I don't anticipate triggering..
Slow and steady will win every race in the long run.. But if the race is lost, and some will be, just don't get hurt to bad so that you can run in the next one.. Common sense.. Bet with your head not over it. Work your day job to make your every day real money and the market will/can be a well paying hobby.
Good luck to all!
Thats unfortunate.. Typically I have a 10% loss limit and then sell and move on if it's reached.. But of course, we have all been caught holding and then becoming married to a loser. Let's just hope that you can get back to even and divorce the one time loser that you were stuck with. Averaging down is only a good idea if you can afford to. The key to that is, being able to not get emotional. If your position gets to big you will make rash decisons. If you can afford your position and an average down as well then clearer a head will prevail and with that comes patience.