Have you noticed some people constantly seek approval for assurance? Eg: Hey [insert hc member name here], your [insert stock here] looks good or what do you think of xxx. xxx is running, [insert hc heart member name] mentioned today/yesterday/last week/a while ago. Its also a manipluation technique.
This probably doesnt apply to everyone here, but thought I might post some thoughts lately. After playing this trading game someone posted a while back, http://chartgame.com/play.cgi?2sbcgb-4,214,2621 I realized I make more buy and hold. I went through some of my old trades and realized even though I was sucessful in day trades, I was better off holding in the medium term.
Examples: CER at 9c, sold at 10.5c now 12c (hit high of 15.5c) VPG at 10c, sold at 11c now 12c (high of 16c+) SDG at 40c, sold at 70c now 82c (high of 87c) FMS at 9c, sold at 11c now 12.5c (high of 14.5c) CTP at 10c, sold at 11c now 13.5c (high of 14.5c)
I remember reading a post about "buffett" from hc saying day traders do not make the big bucks, but do have variance/swings but generally slightly positive with the occasional big win/loss. I've decided to trust my own research and judgement and hold for a more medium term. Some of us are full time "Traders" so probably don't feel productive if we dont buy/sell on a daily basis, but I decided to use that time to research.
Scalping $200-$400 20x sucessfully will net you $8000 with approx $800 brokerage(assuming $20 buy, $20 to sell). A well researched buy and hold medium term could net you that in a month and cost you $40-$60 brokerage. Quality over quanity
Of course this is just my opinion and everyone is different. With $10 000, you need to double up 7 times to make over a million dollars (discussed in the asx general thread somewhere). With the right research, great feeling to have say bought at 10c and have it run to 15c before hc'ers start buying. Why buy higher and sell higher when you can buy low and sell even higher? Buying and holding medium term does NOT mean we dont hold medium term.
Maybe we are gamblers at heart and love the action we see? Fear of missing out is the biggest expensive to us, and thats why stocks run so hard at times. I've seen this many times, stock run from 6c-7c, you sell at 7c and hoping for a re-trace. Before you know it its at 10c and you decide not to chase but still watching and hitting yourself/blaming yourself for not buying in at 8c/9c. Before you know it, the stock is at 12c, and you decide to buy. Goes to 12.5c and you are happy, then all of a sudden, the stock stays at 9-11c for a long time before you decide to sell at a loss.
The stockmarket is a game, and although it is not considered a zero sum game, there are winners and losers. The winners are the ones that know something others do not (or majority do not) and the losers are the sheep. Sheeps generally buy high sell low, that is when the stock is running. Thats not to say the sheep never wins, but he/she does not win on a regular basis. The biggest difference I noticed beteween the winners and losers here are the winners tell others what to buy while the losers will buy what the winners tell them.
If you make more trading daily that you would if you bought and hold, thats great and I would continue to do that. I am not against day trading or anything. Okay maybe I am rambling, just some thoughts I wanted to get out there. As they saying goes, "Give a man a fish; you have fed him for today. Teach a man to fish; and you have fed him for a lifetime"
Ps: I enjoy reading hc, but most of the time its just people aiming to make tiny profits off each other.
