Thanks for your encouraging words. I follow your posts and have a great deal of respect for you. The problem with me is not lack of knowledge. I have read all the great technical books, read IBD regularly, understand tech. analysis and have a solid portfilio of high quality stocks that have served me well over the years. That portfolio helped me recover from the recent bear market. The reason for the catastrophe is that I could not control my emotions and greed and after a while it seemed liked I was playing a video game. The gamblers mentality overcame all logic and reason. I held 4000 shares of MAGS into earnings knowing it was like a roll of dice. Believe it or not I never gamble in casinos!
I need to learn how to control my emotions and how to keep my greed in check. For now, I will sit aside and plan a new strategy with rules that I will adhere to. If I realize that daytrading is not for me, I will still be involved in the market buying high quality stocks and funds. Good luck to you and keep your great posts going.
I need to learn how to control my emotions and how to keep my greed in check.
Keep 10 one hundred dollar bills in your desk drawer. When a trade is up 400 bucks pull the 400 bucks out and look at it, feel it, realize how real it is and what you could spend it on. Then do the right thing, close the trade.
Interesting discussion here. Some ideas: 1. There are NO rules to follow. It's personal. 2. Never ever become a pig. You have a small profit close and move on. 3. If it goes against you, get out IMMEDIATELY!! Cutting losses immediately is the most important issue of all. 4. Never hold positions overnight. 5. Do NOT trade on Fridays if you can help it. 6. Watch constantly the trade in relation to the 20 and 50 EMA on a 1 or 5 or 10 min. chart. Remember that all traders watch these charts continuously. Know how to interpret support and resistance levels. Try to figure out what make cause a breakout one way or the other.
But dont let all this negative sentiment get to you. If you plan on buy and hold I suggest not messing with anything like MAGS. Far to speculative this the kind of stock you should stop out RIGHT away if you are wrong, or just avoid. Buy and hold with the right stock march this year, and you would have made more then jumping in and out like I did. This market you need to be able to adapt, I think until geopolitical concerns abate we are stuck in a trading range with everyone taking profits from high flying techs. So right now this is definately not a buy and hold enviroment. Commodities might be something to look into though for that strategy,as they get more and more scarce might be a good play. I dont have enough economic background yet to make a call though.
The week before +1445 for the week. This is just from daytrading activity. I also have an account I use to sell covered calls in which nets me about 10% per month on my money. On that note here is a miss on my part I had 1000 shares of OSIP i bought at 30 a few months back and I had been selling CC's on the shares. On friday of last week I sold calls at the 35 dollar level. DAMN, I said but you know It could have gone the other way. I still made 6k, but could have made 60k but you know what, I would rather make the 6k with limited risk than put my head down to have it chopped off hoping for the home run, one base at a time wins the game.
I am very happy with my HIGH dividend payers: fixed income stocks called MERpA (Merril Lynch Preferred A) and Pennsylvania Power and light which pay 9% and 7% respectively. But I wasn't happy with money being added to my account every quarter, I wanted to grow faster hence MAgs. If I had put more in these, I would be a couple thousand ahead now. So yes, one can buy and hold fixed income stocks and by them on line. Doesn't anyone else know about these? I have had them for over a year and they don't move more than one or two points and just pay, pay, pay. I have mo also which pays out like crazy!