O.K. I did this in public. I broke the rules that I had set up and bought a stock because that nickel was BURNING a hole in my pocket and guess what? Stock drops IMMEDIATELY on GOOD NEWS!!! What is a fellow going to do. I better get back to the black board and write 100 times: I will follow my rules, I will follow my rules........
And to do it in the public eye as well. Just goes to show how vulnerable I am as an average trader. So what am I talking about? This morning I bought a WONDERFUL COMPANY Somanetics (SMTS), 600 shares at $12.95. Right at the PEAK on the open. The stock announced great earnings, and, like it so often does, SOLD OFF on the good news. This afternoon checking the stock price, I realized it was trading at $11.20/share, down $(1.75) or (13.5)%. Now I could BREAK the rules again, but deciding to get back on the wagon, sold the stock this afternoon, managing to LOSE 11% on my investment in about 6 hours.
I guess that is why I have rules. Now, if I can ever get myself to STICK TO THEM!!! Hope you are doing better with self-control!
I will TRY to sit on my hands and WAIT, no matter how nice a stock I see, until I sell one of my holdings or a portion of it AT A GAIN. That way, knowing that the current correction would be over. NASDAQ as I write, has faded back into the RED....is down a few points....so this rally this morning is less than impressive. There may be some more room on the downside!
Thanks so much for stopping by. I hope I haven't discouraged you from reading the REST of the picks...but it does go to show, that I am pretty darn normal like all the rest of you :)....at least I hope so!