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LegitimateResolve522 t1_iu95ak6 wrote

Reply to comment by rojasduarte in Someone suffers on the other side of your bet by [deleted]

Wrong! I buy a stock and enjoy it's growth. I'm now happy with how much it grew, and I want to take profits to...I dunno, buy a boat. I'm happy, I succeeded in my goal...don't want to buy and hold it forever...I want to enjoy my profits. Somebody else buys at the same price.point I sold, and they hopefully enjoy it's continued rise. The premise that there is a loser on every trade is complete bullshit. *edited to correct autocorrect typo

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rojasduarte t1_iu98hw0 wrote

First of all, because you put an exclamation mark after wrong, I read it like Donald Trump said it.

Second, the only reason to sell a position you're winning on, is of you believe it's reached the top and is going to decline. You're saying that given the choice to make more money or less money you would consciously choose to make less?

Third, happiness has nothing to do with it, zero, if you're in the market to try and be happy, I pitty you

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LegitimateResolve522 t1_iu9cmbw wrote

Again, wrong! You make the assumption because you are driven to only want to sell because a stock has reached what you think is it's apex, that's everyone else's goal. If I bought, say, a railroad stock 40 years ago for 50 cents, and in my retirement sell it for $200 to buy a retirement property somewhere nice, but the stock continues to rise, by your metric, I've lost. That stock is going to continue to rise 50 years after I'm dead. Holding forever is pointless, and thinking the only way you win is to sell at the peak of a securities lifecycle, is frankly absurd. Successful trading is planning a trade with a target exit point, and achieving that exit point and closing the trade...regardless what the stock does after I exit. I have a "toybox" account...it's for funding my toys...atv's, boats, fun cars, whatever. It exists for me to cash out profits and buy toys. By your metric, I've lost, because I didn't hold forever, and bought a motorcycle instead. Ridiculous.

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LegitimateResolve522 t1_iu9d4hg wrote

If taking profits and using the money for something else doesn't add some pleasure to your life, I feel sorry for you.

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LegitimateResolve522 t1_iu9myq1 wrote

#2 Is a really poor strategy that is guaranteed to be sub-optimal. Winning is not hanging around for the pocket change left on the table, after the "losers" have taking the bulk of the profits and moved on.

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