Catching a falling knife

Discussion in 'Trading' started by guest_trader_1, Oct 6, 2022.


  1. No sh*t, Sherlock! :):D:thumbsup:
     
    #41     Oct 7, 2022
  2. VicBee

    VicBee

    Yes, you aren't the first to make that point ;). The challenge for me is my time zone. US market opens at 9:30 pm for me. I can trade and actively protect against drops for a couple hours or so, but then I go to sleep. On a few occasions I've awakened to triggered stops with a price spike afterwards. That fear of missing out is why I sometimes don't set stops, then suffer the opposite, waiting too long for a rebound...
    Ideally I should change my sleep schedule to trade 9:30 pm to 4:00 am but I can't find the drive to do so.
     
    #42     Oct 8, 2022
  3. KGTrader4

    KGTrader4

    On the other hand, from an INVESTORS perspective , catching falling hives when the market is already down 25% and many good companies down way more, while not without sinks, often presents a pretty good r/r
     
    #43     Oct 9, 2022
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    #44     Oct 12, 2022
    KGTrader4 likes this.
  5. nitrene

    nitrene

    Wow that was ugly. Down 4% in a blink of an eye. The market just went down and flatlined. I'm amazed there are no dip buyers but I guess their hopes of November being the last rate hike is over.

    Just too many optimists in this market. Its amazing that inflation just keeps going higher and higher and permabulls are always telling a tale of deflation being right around the corner. Sounds a lot like the idiots at the BOJ.
     
    #45     Oct 13, 2022
  6. yesterday 10/12/22...i was down -$481 at one point trading the stonk market and battle my way back to -$65 by end of the day. is this a good or bad thing?
     
    #46     Oct 13, 2022
  7. Handle123

    Handle123

    What represents 25% ? Is this a magical number? Market is not plunging down like in 2008, market is stair stepping down, huge difference. We not even gone into recession, there is no increasing of unemployment, we have inflation. IMHO.

    I believe we have much more to go down before lows. Stair stepping often has sideways action at lows, safer area to get in.
     
    #47     Oct 13, 2022
  8. i thought stonk market is always stair case up and elevator down? no?
     
    #48     Oct 13, 2022
  9. KGTrader4

    KGTrader4

    Doesn’t matter how it got there, it’s still down about 25% YTD. So what’s the issue
     
    #49     Oct 13, 2022
  10. KGTrader4

    KGTrader4

    Took my short ETFs off and bought back covered calls in a timely manner this morning, took $3600 in profits, 2400 of it in 2 short positions on SDS. Might buy those back later in the day

    Before anyone asks, the reason I did SDS and not SQQQ, is that I find SQQQ is a little too much leverage for me, I get scared out too easily. With SDS I find it easier to stick with my convictions and eliminate the emotional, hunch, aspect.
     
    #50     Oct 13, 2022