It's counterproductive. It just means you didn't load up at the bottom. Why would you buy higher when you could buy lower? Stop drinking the Kool-Aid being fed to you from big money.
is there ever a good time to average down?
- Thread starter mute9003
- Start date
It's counterproductive. It just means you didn't load up at the bottom. Why would you buy higher when you could buy lower? Stop drinking the Kool-Aid being fed to you from big money.
I just posted my performance results. Who cares how you get there? I don't trade like you guys where you hope to have 1% more winners and losers garbage. I trade to make money.
Hello comagnum,
My friend wife is divorcing him because he loss $1 million dollars last year cause he was averaging into losing options trade position.
He lost all their savings!
He will be poor after the divorce all from this trading game.
I only risk $3000 to make +1 $Millions in my trading business. Only a sucker will risk more than that in this trading business.
Averaging in , dicking in, Scaling in, pulling out, fucking around, dicking around, fixed trading, stop trading, asshole trading, pussy trading.... and on and on and on.
Do whatever you like, just do not play with your own money, house money only.
"Don't get high on your own supply"----The Selling Illegal Drugs Business to get Rich.
"NEVER ever bet all your capital in trading"------The legal Trading Business to get Rich.
Aw c'mon,we want to dissect those awesome trades to see how you made all those millions of dollars.
FIFO has nothing to do with averaging. You're talking trees, but the subject of the OP is the forest?
Nicolas Darvas' famous tomb How I Made $2,000,000 In The Stock Market is probably the best book about momentum trading and is strictly rules based. He got lucky that he didn't really have many heavy drawdowns but then he invested in the gogo 1950s so no money management didn't hurt him.
Anyway he would never average down, his rules were based only buying higher highs as dictated by what is now called the Darvas Box. Basically you only buy when the stock breaks its previous high and you sell when it breeches a legitimate low. He used weekly data from Barron's since he was a ballet dancer and didn't always have access to daily data (he was in SE Aisa & Europe most of the time).
Anyway he would never average down, his rules were based only buying higher highs as dictated by what is now called the Darvas Box. Basically you only buy when the stock breaks its previous high and you sell when it breeches a legitimate low. He used weekly data from Barron's since he was a ballet dancer and didn't always have access to daily data (he was in SE Aisa & Europe most of the time).