Yes I do. I try not to lose more than 1% of my account on any one position. (the difference between entry and my stop) I look for momentun (new highs) and usually enter breakouts. I exit on stops or trendline breaks. If I day trade it's because the stock hit my stop the same day I entered. I would prefer to hold a trade for weeks if not longer. As the further price gets away from my entry price the more room I'll give it. Longest I held a position was 9 years as it moved from 7 bucks to 200. (Canadian stock BYD.TO)
Here is how I look at ARKK. When you buy this fund, you are essentially hiring Cathie Wood to manage your money for you. However much capital you put into these shares, that much you have entrusted to her to manage for you. On Tuesday, Cathie bought another 25,000 shares of Tesla. She is essentially incinerating her investors' capital. There is a difference between buying shares when down 11% in a day when the stock is in an uptrend and pulling back to support. It is investing malpractice to buy shares on a day when the stock is down 11% and in a long term down trend and breaking all near term support. I would not hire someone to manage my money who made such trading errors as she continues to make. If I were long ARKK tonight, I'd fire her (sell it) at the open tomorrow morning and never look back at her. I'm not trying to criticize you @Buy1Sell2. Just sharing my perspective. Best of luck to you.
Well... technically, if she doesn't keep doubling down her investors will start thinking... Hey! If this was such a good investment at 3x-4x the price, why is she not buying it now while it's on a discount! Also, if Cathy looks at this as a VALUE-INVESTOR, her big fear would be that the Fed will pivot. She'll have to buy into a rally and miss part of the discount. Then not only that, but the ARKK will raise the price even more as it tries to suck up more equity, among other complications. Big ships can't turn on a dime. Then the investors will ask... well WTF Cathy, why didn't you buy it while it was still at a super cheap discount you hypocrite! I suppose she's a value-investor. She's been mentioning that 'Deep Value Territory' thing.... That said, had the Fed not busted the system, and we were still at 0% interest rates until 2024 as they claimed would be... she may very well have still been considered a genius right now... until 2024 came around.
I wonder at what level and time would you admit your mistake.. 150, 200, 250.. 300? 3, 6, 12, 18 months?
An airliner on take-off has a point of no going back. No return. Commitment is made for better or for worse. The damage will be horrendous to try and apply the brakes to stop take-off because at the end of the runway is a cliff or other obstruction. The captain, as the jet is approaching that point, has to make quick decision. Full throttle ahead or abort the take-off. The same decisions are made on landing also. For better or for worse commitment has been made and cannot be changed as to change means certain horrendous disaster. But to not change ….well there is still hope. That is what Woods has left. Hope. And we all know relying on hope in the markets is precarious. We might get lucky. Then again we may not. In the Woods case it may be a case of “damn the torpedos ….full speed ahead” https://www.battlefields.org/learn/articles/damn-torpedoes If the engines on her jetliner do not fail her she will be called a genius and super investor. If they fail her she will be derided as making a number of classic mistakes. The problem may well be that the Federal Reserve becomes the potential destructive torpedo she will have to circumvent and detour around. A next to impossible situation for an investor. Her cries to the Fed mean little to them, of that I believe I am correct. But I could be wrong. Maybe they will heed her advice? But I doubt it. I have flown into and out of Toncontín International Airport in Honduras via commercial airlines several times and it takes skillful pilots to land or take off under the best conditions. Mountains and hills all around. No good final approach for landing. At the end of the runway is a steep drop off into a gorge and highway. A mountain looms ahead. Takeoff and landings are in the same direction towards the cliff and the mountains. I once almost “bit the dust” on take off as the airliner made it over the mountain in spite of frailing around. The pilots immediately banked around and returned after clearing the mountains. Under the best of conditions it is one of the world's most dangerous airports. The risk in times of uncertainty such as rain or fog increase dramatically. The markets are in a marked period uncertainty and fog. They can be dangerous even under the best of conditions. There is always a measure of gray fog to navigate through. If Woods navigates this successfully and gets lucky she will be go down in the “pilots hall fame”. Otherwise she ….well be remembered for other not so pleasant scenarios. But she has made her decision of no return. She is committed to “whatever”. https://www.reuters.com/article/us-...nway-in-honduras-5-dead-idUSN3029714820080530 This why I am a trader not an investor and can nimbly land or takeoff in my Cessna 172 (so to speak) on the Toncontín Airstrip in either direction and have plenty of runway left to change mind over my initial decision to take-off or land. Another quote often used “it was not my thinking but my sitting that made me money” (may not have quoted it exactly correct but you probably know who I am talking about it you have read many trading books). But alas, in the end where did his sitting get him?