I must say I started to doubt my strategy of holding small positions with no stop losses when my Investec stock dropped to a 12% loss.I had hovered between 5% and 10% for about 10 days, and with no recovery in sight I was thinking of selling out at the loss, and using my free margin in other shares. But I thought back to a saying Roger and I use..."Hold the line!"
The saying is used by cyclists, while when riding in a bunch, if they see a fellow cyclist starting to waver and lose his riding line (which could be disastrous for every one riding), shout "hold the line!"
I held firm, and at Friday's market close my net position in Investec was around a 3% loss! The question I now ask myself is how flexible should I be..?? Should I "hold the line" (this could take months to beak even, or bail out now and employ the capital better?)
I think I will do a combination of both...by putting in a trailing stop loss in case the market bottoms out again, and leave the position open, allowing it to increase in value.
Abonohu te:
Posto komente (Atom)
Nuk ka komente:
Posto një koment