|
PureBytes Links
Trading Reference Links
|
I have often said worry about the stocks you are in, the market will take
care of itself. Each day that the market is down, there are many stocks up
and vice versa. If the market will negatively affect your stock, you will
see it in the charts. As for emergency stops, 8-10% is appropriate. If you
spread your bet between say 10 stocks, a 10% loss on one is 1% of capital.
If your system can't give you at least 50% winners; get a new system.
Richard Estes
-----Original Message-----
From: Bill Saxon <bsaxon@xxxxxxxxxxxxxxx>
To: EMail FastTrack <fasttrack@xxxxxxxxxxxxxx>; EMail Metastock
<metastock@xxxxxxxxxxxxx>
Date: Saturday, June 13, 1998 7:44 AM
Subject: Market timing and stops?
>I get so involved in trying to assess the general Market that I
>sometimes neglect the choice of individual equities or flee from all
>of them in a panic. What is the groups opinion of using a stop on
>each security of perhaps "Protect 90% of Capital and 90% of the Gain
>over 5%", or some variation thereof, and rely it to get out of the
>Market to the extent warranted? I just get tired of fretting about
>it.
>
>It is difficult enough to just pick the stocks without second guessing
>oneself on the Market. In an up or down Market one needs to cut
>losses and protect gains regardless.
>
>In addition, in back testing, this approach seems to work very well
>for exits as opposed to certain conditions being met in price and/or
>volume indicators.
>
|