%% True; unless its GM,DAL, AMR,.................................................................................................................... all went bankrupt/zero/goose egg
If you bought WFC, BAC, JPM, GS in 2009 instead, you would be printing money. Or bought oil in 2002-03.
If you trading long term, better to use Weekly charts on stocks. Not having a protective stop even for long term, have you seen Sears Holding? Notice steep plunge in 2008, many stocks had this pattern usually has rapid move other way, but seldom continuation if too steep. XEC's movement down in late December 2018 was tracking Crude Oil futures of same pattern. Where there is a concern with XEC, it is not tracking crude oil currently. To me XEC has been in a down trend since Feb 2018 based on weeklies. I do good amount of buying with a stock gets lower, and I do keep them years and even decade plus, but my pain level is very tight(short duration) and I hedge new entries, in so many days it has to be rising or I dump it. Thanks for making the post, but next time it goes up to trendline, I will consider selling short/Hedged. I stopped using fundamentals back in the 80s, can't back test it. Do they do any fracking? I am wondering when companies are going to start being sued in Oklahoma from all the sinkholes. So long as you know what the trend is, have a $$$ total in mind, divide in thirds and put in a third when going lower and last one near your protective stop, but if you don't have a clue what you are doing, think of Sears Holding. Using options should only be used when you have well back tested trading plan and understand what you are doing, otherwise they can wipe out all your money. Good luck.
%% OK; not sorry I missed C or BAC/penny stock+ their billion dollar fines.LOL.So that goes to show you on good single stock trading trends/downtrends use stops LOL. 200 dma or even investing can work real well; but that never works without a well defined plan.Also I never put up with a stock that underperformed its sector or market. COG is doing better but its still a weak sector now BUT in case it found a bottom @120, 80, $55; + it has in the past. I tighten up stops on that kind of exit. XOM is doing much better,better dividends; but not likely to bankrupt like GM, DAL, AMR..................................................................................................
I would hold at least until the US/China trade dispute settles down. I think oil stocks will zoom on that.
%% Good news + bad news. Good news is you being in the oil business, could help; + noted if you missed the 200 day moving average or 50 day moving average , could use $55 area as a stop .I still like the idea of tightening stops for several reasons.Past 2 weeks , XEC % gain has beaten XOM, so thats good news. But watch out for more downtrends, XOM has a dividend of 4%; + year to date gain of>> 19%. NOT likely XOM does 80% this year.Many companies give a good discount on buying co stock; it sounds like that did not help you.Stock market is full of surprises; seems like XOM is better than CVX , by any measure; but CVX tends to beat XOM a bit-NOT this year , so far
It's just the market. If you bought anything in November, you'd pretty much be down if still holding. Oct-Nov was the worst time to buy anything last year. You literally just got in at the wrong time.
The problem with stop is I got stopped out on good and bad stocks indiscriminately. I was stopped out of FB @ $20, AAPL @ $400 (before 7:1 split), BABA @ $100 ... If I took Handle123's Sears chart, I can superimpose BAC, WFC, XOM... they all had sharp drops in 2008/09. So, I would be stopped out on all of them. If you bought 10 stocks back in 2008/09 including GM, Sears, C, WFC, BAC, JPM, XOM... some went belly up but those that survived would make you very well off. Imagine, bought BAC @ $2.6 and WFC @ $8.0?
real trader uses stop...no if or but. we are not investor. if u got stop out...it means many things: that you are wrong aka not trending, you didn't account for the volatility of the stock at that point in time, your position sizing etc. and to answer the op original question. i think you already know what you did wrong, otherwise you won't title "major loser." you are feeling guilty and trying to ask a real trader to give you justification for you to stay with this loser. but i think you are mistaking this forum for some other investing forum. sorry...you didn't plan when bought this loser by asking what if you are wrong and what is your exit point? you came into the trade thinking about how much you going to make and not have much you going to lose? noob trader mistake 101. that's all i got to say.