a little history. in march 2000 i gave up tons in the dot.bomb era and my broker never suggested puts or stops or anything at the top . But as we moved down form 200 to 40 on qcom and said if you loved it at 200 buy more at 150 etc. So after giving most back i studied put protection . A few years ago i bought 3 stocks that went up a ton . Like pot at 100 and it went ot 250 . All of a sudden it started to tank and i bought puts in a second. But i never thought it would go this low in days. In this market if you own stock you need some protection. my 2 cents. And i work full time and buying puts takes a few minutes. I buy and hold them till experation. not complicated.
A few years ago you bought a few stocks that went up a ton, how many did you buy that went nowhere or down in relation to the few that went up? Did you buy Puts on all these plays, including the ones that didn't go up a ton, religiously as they expired, continually replacing them? In such a stradegy, then surely you bought Puts on POT when you entered the trade a few years ago at 100 correct? And kept replacing the PUTS as they expired? Times all your position's in your portfolio of plays. And have you calculated if it was worth while in relation to capital at risk so far, on a yearly basis? Calculator needed here. Not to mention your time, subscriptions, books and more. Think about it. Are we just entertaining ourselves, dreaming of wealth that maybe could be had here? Someone once said that a human being tells many lies throughout a day, but lies to himself on a daily basis far more.