Quick anotate question

YRCW
Drtn: Short
Entry: 14.78
Date: 18/01/2008
Disaster Stop: 16.27
Qty: 320
Cost: $4,729.60
Exit: 16.27
Date: 23/01/2008
Return (pts): -1.49
Return (%): -10.08%
Return ($): -$476.80

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mattonline said:

I was just reading through the journals and other threads on the forum and got a little confused.



I can understand parts of this but one of the things i dont get is why this person has an entry point of 14.78 and a disaster stop at 16.27, shouldn't the disaster stop be something lower like 13.78?? and the selling point be 16.27 giving a ratio of (1.10) He has put the exit point 16.27, so why is the disaster point 16.27?

also i'm not 100% sure what these figures mean

Return (pts): -1.49
Return (%): -10.08%
Return ($): -$476.80


Thanks in advance

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mattonline said:

So i guessed the negatives were losses, but i see the disaster stop higher than the entry on many posts here, and i get confused why?

Entrepreneur is frech?

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because they're shorts - the price needs to go down to make money. If it goes up you lose money and get stopped out.

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mattonline said:

I don't understand , whats a short?
why does the price need to go down to make money? surely you would lose money? ask i thought he bought the stock at 14.78 and if it went down to say 12.78 he would of lost money, am i right or just getting confused?

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