Bagholding is good. Look, by definition, every move made is wrong. So after a purchase naturally you are an automatic bag holder. Then, just hold on. As the situation deteriorates avg down. But within limits obviously. That's all there is to it.
I was wrong about the sector. Contrary opinion does not always work. Same with shipping stocks. A whole industry wiped out more or less. These are I guess black swan events The way to handle this is to buy more occasionally but not too much since companies do go bankrupt.
Its a matter of playing the odds. I would never touch any stock unless it's been down for years and is losing lots of money. Dividend payers are out unless there is a very big cut.
This stock is wonderful. Heavy trading and speculation. This means market makers toss the price hither and yon to get at all the stops. Its profitable as the trading community provides liquidity.
It makes sense. But I have seen cases where all the open interest was puts and the stock tanked anyway. Maybe sometimes the public is selling
the options short to the market makers.
It's a waste of time to know anything. A distraction and worse. The time to buy is when things are bad and will get worse. So if you know something it hurts you.