XAO 0.58% 8,176.6 all ordinaries

Short Term Trading Weekend Lounge: 2 - 4th Mar, page-141

  1. 24,192 Posts.
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    Perhaps don't think in terms of price target or $ value targets but more in terms of has the initial/original FA or TA expected event or outcome that you entered the stock for come to fruition or no is it no longer viable. Periodically review you FA/TA targets and reset new ones if circumstances change. For example the FA may now be much better/or worse based on info you have now but did not have at the start. The super successful investors are able to see the vision where others may not or cannot and so are more comfortable holding longer than the more short sighted. But be careful not to fall in love with the cinderella story also . Its imperative that you stay pragmatic about the probability of the TA and FA event occurring and how long your willing to wait for it to occur. Also opportunity cost will feature in my decision making process. Whilst I'm waiting for something to occur have I missed another perhaps bigger opportunity?

    Dollar value and price targets whilst important psychology to you personally have no relevance to the potential (or lack there of) of the TA or FA potential behind a stock. Assuming that is that you are not a substantial holder of the stock and you exit will influence the market.
 
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