%% One way, Ironchef, you can trade like Mr Soros; do what he calls ''a real time experiment'' That is trade/invest, + make a profit, but have a plan if your real time experiment fails to make a profit.
%% Can work well; dont take all year to do it + have excess profit killing commissions. Still need to allow for DAL GM ...... hitting $0.00.And when the major trend changes///not real often; good way to get killed. Helpful within those limits.
my problem was that i was taking on too much risk without realizing it. If Apple got hit then my Google holding would too etc. My risk per trade was fine but portfolio risk was not. So now i use open profits to give me the go ahead to take the next position. If it all moves against me after in profit then it's only profit that i'm losing (and not my initial capital). Also the added benefit is that i can choose the best stock that meets my criteria and only focus on that. These are both beneficial too
%% Most fund managers average in; really have to. I even like to average my gasoline buys for my 4 cyl HMC ,LOL. I know of a fund manager who loaded the boat [fund]with 20% AAPL, 2011 or 2012; that IS way to big a %% for most all. But good tech stock...