We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon
Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
What took place in regard to Gold is typical: lots of stocks have strong breakouts and then retreat into their own range shortly thereafter. I went through this with AA, which broke out recently with an 11% daily gain, only to fall back within its old range. But now the range has extended. I am up a bit, nothing special. I am long a number of stocks that go up/down 5% on a daily basis. Their daily range is sometimes 7-8%.
In the case of Gold, I think you were wise selling. I say this because Gold is a momentum trade and the momentum was broken today.
I am long stocks that trade within a box of 15%. They hold the range for months, then boom!! It is all about your time horizon and how you size up the company, fundamentally speaking.
So have I....Thing that gets me, I own a few retailers that are down 3-4% today because BBY and ANF reported earnings and were down 16%. The same thing happened a few days ago to the upside when M and another retailer beat estimates and the stocks surged 18%.
Wonder what the hell my GPS will do when they report after the close? I am going to probably sell half sometime today and play it frugal.
I know traders who look back and eat themselves up alive on every move they make and they got ulcers. I don't look back for health reasons. Stock trading is like being an athlete: there's always the next game or trade. Key is not to make the same mistake more than once.