As 5 grander is quite often referred here as a good example, so I have decided to share some of the possible reasons of its success...
1. Success has a mixed element of luck, market being bullish and few stocks doing 100% plus return...
2. Buying low and with caution... In other words low market caps v potential after careful analysis of risk v reward.
3. After a buy giving each holding enough time to mature... lost many trades in between and at times stocks went up high and came back at the entry price... but I managed to hang in and ultimately made handsome returns... some still failed completely.
4. Focus on ST to MD trading like 1 month to 3 months sort of stuff... at times I held stocks more than 6 months like SRTOA/IAMOA... it just kept going...I bought SRT at 1c which I then converted into options... and its now making me massive returns as at its close price... anything from here would be even better...
5. Focus rather than trying hard... I want decent returns not a pip here or pip there... In my trading history, I have come to conclusion that finding a stock which makes you larger gain is way better to trade pips... so I buy hard and then hang in... only need 1 or two stocks every now and then to make me happy... Like RBX I bought 1.48m shares at 0.5c in 5 grander worth $7400 and I am still holding them with a target of 1.8-2.5c... now if RBX makes 2c then the return is 300% or $22200... if it happens this way, do I have to anything else? Similar thing happened with PLP, MOX, TYK, EMH, SRT/SRTOA, or other huge gainers in it... so I am not trying hard just trying to find a low value stock in the right sector...
6. Locking in gains... I try to lock in profits when they come or a price target is met... however, I am not going blind... like with SRT I am.just hanging in... similar thing with RBX although my profit in RBX was as much as 200% at one point... so selling stocks which need to be sold and hanging in those where things still looking okay or have improved with pessage of time...
7. Finding more winners than losers... losses are inevitable so I am trying to keep my chin up when they hit... also they are going to happen regardless of your efforts as market is uncertain and there are multiple things which can go wrong...
8. Trying to improve and learn from others... it's always important to keep improving and cutting the crap... so far I have seen quite a few approaches adapted by some excellent STT folks... so I am keeping a close eye and learning... have to admit that
@valen1828 is extremely scientific in his approach and it seems like he is very close to find us a pool of stocks which might have potebtial winners we all can pick and choose...
There are other things... but I am trying to innovate as we go along... applying some diversification strategies as well like options 5 grander... by saying this, I am still not very confident that I can maintain these results... only time will tell but I am trying my best...
Cheers and all the best
