@slstock wrote:@csehistorian wrote:
typical of the advice give on the forum.
For your 50% loss to become 50% profit the share price has to go up by 200% Let me illustrate with an example.
You buy a share at Rs 100
one week later the price drops to Rs 95 you decide to be a hero and practice buy and hold instead of cutting your loss.
A few months later the share drops to Rs 50 you now have a 50% loss.
The market reverses direction and shoots upwards. Your dud share shoots up 100% doubles in value and goes back to Rs 100 but you are still losing Rs 2 per share when you pay brokerage.
To get a 50% gain the share has to go up another 50% to Rs 150. Which is Rs 100 above the current price which is 200% above the previous close.
OTH, one who sold at even Rs 90, can now buy 180 shares for each 100 shares sold and only needs circa 60% rise for a nett profit of 50%
THIS IS NOT AN ADVICE TO SELL YOUR SHARES. It's far too late for that.
It is not my problem you do not understand short term trends vs longer term investment goals.
Forum is full of such people like you who talk short term and not investments with patience.
Rememebr good company earnign keep growing. A Rs 100 share, now can drop to Rs 50 in panic but in few years time with growth it can be valued at Rs 200 or Rs 300. With time and earnigns value will be more. Once your pre- calculated target after study of earnings , growth with investment period is reached you can dispose.
Here you are talking about selling shares every time it has a small run. That is short to medium term trading.
We have discussed about Investing so many times over in the forum. Do a search and see.
You make account on Jan 24th and suddently start attacking people left and right. Within the last few weeks we see such people mushrooming. Where were you with all these advices before this panic?
If you talking short term stratergy is different. A good investor has long term. short term and medium terms shares in the portfolio.
So many duplicated identity accounts in the forum.