so we agree . prices do fluctuate as they trend.
we agree here too. why any trader who is interested only in turning a profit with minimal risk would trade in the way you just described, ive no idea.Buy 50, then buy 40, then buy 30.
Your average is 40 at this point
Then sell some around 32 and take a bunch of losses.
Then buy more at 20, then buy more at 10.
Your average is 27-30 at this point, at best (remember you started buying at 50)
Then sell around 13 and take a bunch of losses again
Then it goes back to 10 and you are sitting in a huge loss
i think im more likely to have said that i havent got the slightest idea where this stocks gona go :cheesy:. I would also probably say i wouldnt put all my eggs into a single stock either.You'll say this was a bad stock to trade and you wouldn't have traded it.
HOWEVER, how would you have known that back when it was at $50?
That is exactly why I am saying that trade management alone is NOT an edge.
One thing id definately say, and agree with you on, is theres no 'edge' in management!