The myth of letting your winners run

Discussion in 'Risk Management' started by Flowfollower, Jun 2, 2020.

How do you do it?

Poll closed Jul 21, 2020.
  1. Outlier hunting

    20.7%
  2. Profit target

    44.8%
  3. A combination of both eg trim and trail

    34.5%
  1. .sigma

    .sigma

    like a loser. But sometimes when I realize a loss I feel like a winner, ain’t that sumthin?
     
    #221     Dec 15, 2020
  2. themickey

    themickey

    Indifferent.
    Feelings about watching a stock double after exiting are 'woulda shoulda coulda' emotions and just furgedabout that idea.
    There's enough woulda shoulda coulda already on ET without adding to it.
     
    #222     Dec 15, 2020
    murray t turtle, userque and .sigma like this.
  3. .sigma

    .sigma

    while this is true.. something just doesn’t sit right when I see a stock literally implode after I sell. Chilling, I can’t shake it. I have profit targets, but when I think about if I just didn’t close, “woulda coulda shoulda” creeps in again smfh
     
    #223     Dec 15, 2020
  4. themickey

    themickey

    Tru dat, because the majority of my exits are too early, often its 3 days.
    But I gotta take the signal, can't live by 2nd guessing.
    Frequently I see stocks running away after I exit, but my personal opinion, it's a bias playing tricks with my mind.
    Every stock I hold past its exit signal goes deep in the red on me.
    Every stock I sell goes green. (So my brain tells me)
    But that's the bias trick playing with the 'woulda shoulda coulda' part in my head.
    Resist the thought! :)
     
    #224     Dec 15, 2020
  5. themickey

    themickey

    An example.
    Lets say I'm trading 100 stocks and receive a sell signal on all, whereby I sell 50 stocks and keep holding 50.
    The 50 I sell, 2 go on up.
    The 50 I hold, 2 go on up.

    My sold stocks, I see 2 going up and I have regrets for not holding.
    My held stocks, 48 go down and I have regrets for not selling.
     
    #225     Dec 15, 2020
    murray t turtle likes this.
  6. deaddog

    deaddog

    I buy stocks that are going up. If they continue to increase in price there is no reason to sell. For that reason I never get out at the top.
     
    #226     Dec 15, 2020
  7. %%
    I've done + do ETFS like that.
    And also, I like to take a profit or loss every now + then;
    that way brokers,market makers , specialists get more. Its also fun to let profits run + kick out/exit the least good ETF, did that today........................................................Easy to get back in usually, but not always.
     
    #227     Dec 15, 2020
  8. It's not a myth. It's just that you are over thinking it and your short term losses are giving the illusion it doesn't work.

    But everyone has to trade in a way they are in tune with. If you are a scalper/day trader and aiming for high percentage plays then by all means trade that way.
     
    #228     Dec 20, 2020
  9. .sigma

    .sigma

    Thats why I prefaced with "For me" lol..

    and idk what being a day trader has anything to do with this.
     
    #229     Dec 21, 2020

  10. hahahah man i always love your videos, keep them coming
     
    #230     Dec 22, 2020