I'm bowing out of this thread rather than responding. It's a fool's argument now. mm's responses are just another round of ducking questions, disregarding points, putting twists and spins on comments and just plain arrogance. Just like the last thread, nothing's improved.
I can't believe he is still talking smack. Look man, your record is horrible. I don't know why true traders still bother to even respond to you. You have losing positions that you refuse to acknowledge. Your overall true return is crap, I remember it being to be calculated to be about 3% a year. That's a joke. Thats a low risk-free rate of Treasuries. As for your Wharton MBA, most mutual fund/money/pension fund managers are pompous MBAs just like you. Look at their performance. But at least, they are smart enough to make a fee from other people's money instead of tying up and risking their own cash. Your stock picking method seems to be just simply random. Your criteria obviously means squat when you have so many losing positions. Posters here are talking about making money day to day not holding on to stocks forever and ever and never be able to touch the money again.
I'd be more than happy to answer any specific questions you may have. I am here to learn, and help when I can.
How is having 45 winners and only 5 losers, out of my last 50 trades, "so many losing positions"? I don't consider this a horrible record. My true return is not 3%.
True, but most people's strategy is not to outperform the market, but rather to make lots of money so they can get rich and retire. If they're using buy & hold, that means they either have to be very good stockpickers, or have the luck to operate during a long bull market. You could have outperformed the market from 1969-1981 and still lost money after inflation. How do we know the next 10 years aren't going to be terrible for stocks? I'm not going to spend god knows how many hours per week for a decade just to make 5% a year.
Cutten..your post is right on the money. What it boils down to is different strokes for different folks. I don't need to make a living trading, so my method works for me. I wish you only the best of luck.
I think this thread so far has contributed for some healthy and cathartic dialogue. I hope it stays on topic.
You know if I cared enough, I would search for the thread where your whole record was exposed and ALL your positions were counted and your return was calculated to be 3%. It's there, I remember it clearly and I know you do also. I'll give you the benefit of the doubt and assume that in the last several months you did better since you obviously got lucky on this "rally". Apparently that blew up your head beyond belief and now you are not just huge you are gigantic. But all that aside, you do not even live from from your "investing" practices. You are trying to teach and brag to people who makes a daily living (some a very good one) from trading stocks everyday. If you had any manners or common sense at all, you would be humble, but instead you think you're mr. super trader/investor. Except that you cannot make a living out of your trading strategy. I hate to say this, but I hope you get wiped out when the bubble bursts. You need a serious lesson about the market.
Fair enough - that's the difference between an investor and a trder. Just look at Buffett - no stops, adds massively to losers, likes buying during bear markets, bets 30% of equity on one position, very low turnover of capital. Everything that traders swear against!