I agree completely that taking some profits along the way is the better strategy. My experience in the 'market' completely turned around when I learned to average into and out of a stock. I am FA in my thinking and I only trade in order to accumulate for the long term hold.
With ALK, however, I am trying something a bit different. I am now holding my entire parcel and not touching it, until it stops rising and instead trades sideways for some period of time... only then will I take out my original capital [and keep the free carry].
I am so used to holding a stock which keeps trending down, seems to stop, then drops even further. I continue to hold, utterly mystified, shaking my head and completely disbelieving. Then ... finally it stops falling.... and then, maybe for months trades sideways. If I have the FA correct eventually it improves, but usually I have to boldly buy near the bottom to get a profit. I think ALK is the total inverse of this process.
What I have been doing is buying an extra [modest] parcel and if it makes a respectable profit taking out the capital and keeping the free carry... I have done this now a few times and almost every time I have had to pay more for the shares when I buy than what I got when I sold... strange way to make a profit .
ALK Price at posting:
78.0¢ Sentiment: Buy Disclosure: Held
.
(20min delay)
