Is the advice of not catching a falling knife not the same as not buying in a rising markets. In forex perhaps, stocks though seem to always go higher on the longer timeframe.
Why Do People Buy At A Top?
- Thread starter tradingjournals
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only index has this tendency. individual all follows a BOOM and bust cycle, no matter how great they are.
just like human being, and indiviual person.
human being as a kind, always progress.
but indivivual person always follow thepath of birth, growth, stop growth, aging, death. very sad. those long-term investors who have no plan to get out often end up as bagholders.
catching a falling knife of individual stocks are very risky, since indiviudal stocks always will die no matter how great they are now, some die pretty young, some pretty old. but compared to the general index, theirlife span is very short lived. you may tag them as bluechip, oooh, that is teh same
just like human being, and indiviual person.
human being as a kind, always progress.
but indivivual person always follow thepath of birth, growth, stop growth, aging, death. very sad. those long-term investors who have no plan to get out often end up as bagholders.
catching a falling knife of individual stocks are very risky, since indiviudal stocks always will die no matter how great they are now, some die pretty young, some pretty old. but compared to the general index, theirlife span is very short lived. you may tag them as bluechip, oooh, that is teh same
Thoughtful remarks trader198!
well said NoDoji... You said it all in four words
IMHO and I insist all depend what type of trader one isâ¦. otherwise, I doubtful, what one canât catch.... then, of course, the most important at the end of it is to make $$$$$$ doesn't matter how each one do it.
I am a scalper (not a sucker as someone said!!!!!) today (again) with OXBT I scalped few time always at the top (daily HoD) but from $3.30 to $5.30 there was a large margin of getting good âticksâ IMO if one is good can do it in reverse as well scalping what goes down (lower low ?) but shorting them (OXBT show that as well an evident one was 5.30 to 4.75 then to 5.27 (I didnât do that trade (before someone call me again a sucker) but this âsuckerâ (lol) by then reached my daily target so I stop trading â¦â¦.
That to sow what? Nothing just another way of trading, but need to be IMO a good scalper before been a day traderâ¦
I came here to read/post and maybe learn (IMO we never finish learning and maybe bring little something for what is worth.
You all seems to know what you doing, at least you post it, as I donât know any of you yet (I am new here) I was hoping to get together and have a daily thread where some of us (serious no pumper etcâ¦) can post their stocks etcâ¦â¦
PS from now on I wonât mention any more the word âsuckerâ and please Mr. Trader 198, when someone say/post something I wish before calling a sucker please inform yourself first, how can you say that after reading 1 post(?) â¦â¦ maybe my English wasnât/is good enough, if that I apologize, but IMO trading are numbers not verbs/adjectivesâ¦.
if this site/forum is made by âsuckersâ then I donât see the point in stay here and losing my time, but refuse to think that .....
saying all that hope we have a future with plenty $$$$$
people buy at the very top because in majority they are risk adverse and needs a long trend of confirmation before committing, usually too late
this has been very well documented in some academic financial research, can't remember the paper name about it, but it explained why 95% of people, and money managers for that matter, keep making the same mistakes over and over again.
Those investors bias are part of Investment Behavior strategies exploits.
this has been very well documented in some academic financial research, can't remember the paper name about it, but it explained why 95% of people, and money managers for that matter, keep making the same mistakes over and over again.
Those investors bias are part of Investment Behavior strategies exploits.