What I don't understand about buying dips

Discussion in 'Trading' started by cashmoney69, Jun 27, 2007.

  1. Is dip-buying the same thing as averaging-down?
     
    #21     Jun 28, 2007
  2. Great analysis. I'm sure all the people who just got flat after holding the S&P and DOW for 5+ years after the 2000-2002 debacle feel much better.

    And let's not forget all the NASDAQ bagholders from 3000 to 5000+. I'm sure your little 2000-2002 "exception" is going to make them sleep much better tonight.

    Serious question-- Do you think before you type, or do you just sit in front of your monitor and spew any old nonsense that pops into your head?
     
    #22     Jun 28, 2007
  3. If GS MS MER BSC start boucing off the low. Load up. Rising tide lift all boats.


     
    #23     Jun 28, 2007
  4. Thinking about buying a dip? Congratulations! Dip ownership is one of life's most rewarding experiences. It is very important to do your homework to ensure that the Dip you choose is a good match for your lifestyle and remember, never ever risk money you can't afford to lose. It is also very important to learn as much as you can about the responsibilities that go along with owning a Dip so that you are prepared to meet the needs of the Dip that you choose.

    Stay tuned....
     
    #24     Jun 28, 2007
  5. Do I need a license for my Dip? What if it bites? :D
     
    #25     Jun 28, 2007
  6. "Guys like stock_tdr say they've had great success buying dips,

    but I dont see how they pull it off. LEH has been falling for the

    past 5 days, even WITH indicators, I still couldn't find a good

    entry for a long position, and looking at it now, thank god i didnt.


    I never buy into a position all at once, and I'm having a hard time

    knowing when to add to positions, and when not too."


    cm

    do like stock_trd says. ask him for stocks to buy on dips, LEH does'nt qualify, like he said. chow, going on a 6 day weekend thanks to stock_trd favorites.
     
    #26     Jun 29, 2007
  7. Aisone

    Aisone

    I only buy stocks that are selling off, and have made a good living at it for quite a while. The bubble burst was my best year, and never even shorted that year (I lost too much on some short trades in '99)

    For me its all about timing and rate of change analysis. Its not where the price goes, its how it gets there that counts. Don't be mistaken tho, not all dips are meant to be bought, that's for sure.

    Buying selloffs is so engrained in me, I'm literally too paranoid to buy something that is going up (and am usually wrong anyways :p )

    Gotta go with your strengths tho, and 'contrarian' is mine.
     
    #27     Jun 29, 2007