...I only"test the waters as they say"in this stock with a very small parcell at $1.90 then came in with a larger purchase to average around around $1.14.
...I have done this many times before with an over 90% success rate with either getting my money back or making a reasonable profit(my last success was with MTN)
...Most of you experienced investors out there would know that the shorter the timespan the more of a ramdom nature the sp movement can be.
...You would also realise that averaging down is not really a "accepted trading tool "because it says that in the "this is all you need to trade and this is how you do it book"
...BUT do you agree that sometimes if you trade in a different way from what is "accepted" you can succeed and a classic example of this would be "buy in gloom sell in boom".
...And if you throw out all your rules and got a monkey to randomly pick out the stocks you may beat some of the experts on a regular basis.(if you dont believe me check out how well the dartboard wins in the sunday paper)
...So my theory is because of the short term random nature of the sp AND all the inside GAMES that are played with the sp you can stand just as good a chance with your own system as any of the other trading systems out there.
...The way I successfully trade is to word on the PROBABILITY in the movement of the sp in the short term and "averaging down" has SUCCESSFULLY worked for me in the past so why try and FIX something that is not "broken"!!!!!!!!!!!!!!!
CAZ Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
