Quote:
Originally Posted by bigdog1250
^ +1 Good financial advice.
And to the guy that said it's smart to have things trend in the same direction... it's not. You have less return per unit of risk, this is a basic diversification principle.
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To some extent I agree, but to another i disagree. If I know:
These three stocks move together, one cost X amount, the next cost a lower X amount, etc. I can make different buy in's basically on the same product. Almost like holding a stock that has dropped below your buy in and buying again at a lower rate (of course with hopes) and selling it back on an up day. This offsets a loss or if it goes above your initial buy in, money in the bank.
I do a lot of things not by the book and it works for me. I also happen to work for one of the companies and known when quarters/months/days will be good. If we are making money they are making money. Diversification is best put to use with the intent of an offset to losses. I dont plan on losing nor have I yet on my favorite 3.
To birdman sorry about your hard time. Even an inflated market has great return on day trade style plays. Don’t get me wrong I do long term on lower priced "penny" stocks, but the bulk of my profit has been in and out trades.
I know I will have a lot of people disagree with me, but oh well it is what it is
