Ouch, bad trade trigger and now I'm out $4,000

[Argo]

I own a stock which has done pretty good recently and I plan on holding on to it for a little longer. I've created a trade trigger for it, however looks like I've made it too sensetive (10% instead of 20%). So today due to some bad news the stock dipped and trigger activated. Despite the news the stock is still pretty strong so short thereafter it went up again. However as the result:

1) I now have to pay taxes on that sale, roughly $3,500. I purchased part of my position fairly recently, so portion of that tax is going to be short term. Ouch.

2) I had to repurchase the stock, since I don't want to close the position just yet. Due to stock going up again I've lost another $500 on that.

All in all, not a very good Monday morning for me.

 

[Schfifty Five]

Probably shouldn't have rebought in and just taken your profits.

There will always be another stock to profit on w/o chasing.

 

[KnickNut3]

1. It could have just as easily continued to plummet. That's why you had the trigger activated in the first place, right?

2. You don't HAVE to rebuy the stock. You're CHOOSING to repurchase since you see being long it in as a +EV position. Therefore, the fact that the opportunity still exists for you to make some money is a good thing

 

[Argo]

Originally posted by: Schfifty Five
Probably shouldn't have rebought in and just taken your profits.

There will always be another stock to profit on w/o chasing.

I've repurchased only 60% of my original position. The rest I'll invest in something else.

It could have just as easily continued to plummet. That's why you had the trigger activated in the first place, right?

Correct, but in retrospect 10% was probably a little to tight of a trigger.

 

[cherrytwist]

This is not your blog.

 

[WolverineGator]

What's the stock, BOL?

 

[Argo]

Originally posted by: WolverineGator
What's the stock, BOL?

AMTD

 

[Jack Ryan]

Originally posted by: cherrytwist
This is not your blog.

 

[quakefiend420]

Originally posted by: cherrytwist
This is not your blog.

no but it is OT :roll:

 

[Argo]

Originally posted by: KMDupont64

Originally posted by: cherrytwist
This is not your blog.

Oh geez, because all those "YAGT: Does she like me", "I just played oblivion", "What is the fastest car you've driven" posts are so much more entertaining.

 

[mugs]

Originally posted by: KMDupont64

Originally posted by: cherrytwist
This is not your blog.

 

[Koing]

Originally posted by: cherrytwist
This is not your blog.

WHY do people say this?

This is a public online forum. People come here to read stuff like this. If you don't want it here the mod will close the thread.

OP thats harsh but you must be doing alright on the stocks if you can lose $4k and not be broken right? :thumbsup:

Koing

 

[PlatinumGold]

Originally posted by: Koing

Originally posted by: cherrytwist
This is not your blog.

WHY do people say this?

This is a public online forum. People come here to read stuff like this. If you don't want it here the mod will close the thread.

OP thats harsh but you must be doing alright on the stocks if you can lose $4k and not be broken right? :thumbsup:

Koing

$3500.00 of that is taxes. he has to have made some money on it in order to pay taxes.

 

[new2AMD]

What was the bad news? I have a little AMTD and noticed the dip but didnt hear any bad news. That stock has been like this since they aquired TD. Dipping below 20 then getting around 22 and back and forth.

 

[Argo]

Originally posted by: new2AMD
What was the bad news? I have a little AMTD and noticed the dip but didnt hear any bad news. That stock has been like this since they aquired TD. Dipping below 20 then getting around 22 and back and forth.

They just issued earnings advisory for 2007.

 

[WolverineGator]

Originally posted by: Argo

Originally posted by: KMDupont64

Originally posted by: cherrytwist
This is not your blog.

Oh geez, because all those "YAGT: Does she like me", "I just played oblivion", "What is the fastest car you've driven" posts are so much more entertaining.

You forgot about the Gas threads... enough already! It's $3. Big deal. Move on.

Check out RUTH, TRIB, BOL.