GME is set to reinvent after former Chewy founder has taken a big stake in the company. I expect some dramatic announcement over the next 6 weeks and that’s why calling it as a hold
We thought GME as a great investment because of xyz reason. But before the stock could rally, it tumbled on a bad set of earnings and the stock is down to breakout point of 5.9-6. Now, you can do three things:
1. Sell and move on [Stop Loss] – But then you lose 20%
2. Average because you believe in the story – But then you are already in the stock and what if you are wrong and the stock sinks more.
3. Do nothing. And assume, you have take a fresh position at the current market price of 6.1. So that mentally you don’t get upset by benchmarking with your buy price
Remember Trading is a business of deploying Capital. Focus on the capital than getting concerned about individual stock. Does this make sense
Totally makes sense, I never thought about it this way before. Thats the great insights and thinking I and we all get from you
Navaneeth Ramansays
Interesting way to look at it.. I bought it at 6.50.. but so far I am glad it’s held the $6 support.. Good call on NKLA.. I am glad I exited when you tweeted about the fraud! Thanks!
Tarun Jainsays
This is great Strategy .. Thanks for sharing !
Amit Jainsays
Another thing I would request Deepak is if you can update the Tracker more frequently (I know its more work for you) since it really helps to view all the stocks with SL and current status in one place, Not sure what others think.
Hi Deepak, want to appreciate your approach on trading and sharing ideas. Honestly i have been at peace in last two weeks of consolidation. Mainly because of holding your ideas with a clear view. In the last three- four I have learnt to book losses early and sticking to the plan.
I am trying to practice strategy for putting trailing Stop Loss… so far its a hit or miss for me. Got rid of couple of losing stocks but it hurt big time in few stocks during last 2 weeks in $ DKNG , $WKHS , $SPAQ and $APPS today.
1. I din’t sell $APPS yesterday at 32 and decided to put 12.5% trailing Stop order instead, and it took my SL around 28.5 and then moved back above 32 🙁
2. $DKNG 38 to hit my trailing SL at $35 and moved to $ 52
3. $SPAQ 14 to hit my trailing SL at 12.5 and moved to $17
4. $WKHS moved from $18 to hit SL at $16 and moved to 28
Should we use Limit order with adjusted price everyday based on volatility or it is just part of game and there is nothing we can do about it.
Yes very weird but at your buy price, you should be able to hold it. Sometimes the prices fall like crazy to throw you out of the trade. we don’t know what’s the play here
What happened to $NLOK ? Back to 20-21 levels… Still good to add ?
Never buy/add a stock that is not doing what it should be doing
Does that mean it’s a sell now or hold if bought near $20?
It means if a stock is not performing and you bought at $20 and you find better alternative, you can either switch or continue to hold
Thanks ! Yes I bought at 20-21 and exited half at 23.
What should be done with GME, I know you said yesterday its still a Hold and you would share more details on that.
GME is set to reinvent after former Chewy founder has taken a big stake in the company. I expect some dramatic announcement over the next 6 weeks and that’s why calling it as a hold
Got it, the stock is down almost 20% from where i got in, Does it make sense to average it or wait
Never average. Here’s how I see it.
We thought GME as a great investment because of xyz reason. But before the stock could rally, it tumbled on a bad set of earnings and the stock is down to breakout point of 5.9-6. Now, you can do three things:
1. Sell and move on [Stop Loss] – But then you lose 20%
2. Average because you believe in the story – But then you are already in the stock and what if you are wrong and the stock sinks more.
3. Do nothing. And assume, you have take a fresh position at the current market price of 6.1. So that mentally you don’t get upset by benchmarking with your buy price
Remember Trading is a business of deploying Capital. Focus on the capital than getting concerned about individual stock. Does this make sense
Totally makes sense, I never thought about it this way before. Thats the great insights and thinking I and we all get from you
Interesting way to look at it.. I bought it at 6.50.. but so far I am glad it’s held the $6 support.. Good call on NKLA.. I am glad I exited when you tweeted about the fraud! Thanks!
This is great Strategy .. Thanks for sharing !
Another thing I would request Deepak is if you can update the Tracker more frequently (I know its more work for you) since it really helps to view all the stocks with SL and current status in one place, Not sure what others think.
Hi Deepak, want to appreciate your approach on trading and sharing ideas. Honestly i have been at peace in last two weeks of consolidation. Mainly because of holding your ideas with a clear view. In the last three- four I have learnt to book losses early and sticking to the plan.
I am trying to practice strategy for putting trailing Stop Loss… so far its a hit or miss for me. Got rid of couple of losing stocks but it hurt big time in few stocks during last 2 weeks in $ DKNG , $WKHS , $SPAQ and $APPS today.
1. I din’t sell $APPS yesterday at 32 and decided to put 12.5% trailing Stop order instead, and it took my SL around 28.5 and then moved back above 32 🙁
2. $DKNG 38 to hit my trailing SL at $35 and moved to $ 52
3. $SPAQ 14 to hit my trailing SL at 12.5 and moved to $17
4. $WKHS moved from $18 to hit SL at $16 and moved to 28
Should we use Limit order with adjusted price everyday based on volatility or it is just part of game and there is nothing we can do about it.
Is SLV price action behaviour good? I don’t understand why it would tank 10% today! I bought them around $21 levels..
Thanks,
Navaneeth
Yes very weird but at your buy price, you should be able to hold it. Sometimes the prices fall like crazy to throw you out of the trade. we don’t know what’s the play here