You're exactly right, and that's why I want them to be objective and simply track their "in's and outs" - to be sure that if they are going to lose $1.00 they better be making $$'s as well. If they make dimes and lose quarters, it shows up very graphically. Just a tool that I use.... Don
I can't say that wasn't a smart move. But, the speculator in me would have like to see you hold through the earnings report.
I agree. My rules for holding through earnings are as follows. If I am long: If the stock is at or near a 52 week high I sell before earnings. If the stock is nowhere near a 52 week high I hold. If I am short. If the stock is near a 52 week high I hold If the stock is nowhere near a 52 week high I cover. There will always be time to re-enter the stock one way or the other.
Ok, their earnings were less than expected, but I wouldn't normally hold through earnings, just this time i made that mistake, and it worked out in my favor.