Wednesday, July 30, 2008

Average down


When you want to average down meaning you are losing money, and you are sure that the stock would go up.

No body sure stock would go up unless Hellboy, and when you do averaging down, that is road to the poor house.

If you insist of average down, here are the keys:

-- Wait until the stock settle down at some price, and the seller refuse to sell --
-- Make sure you understand the real price - value of the stock --

if a BMW being sold for half the price, only 2 reason, problematic BMW or seller want fast cash.

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