I initiated a starter position in two stocks for a few reasons:
- They have been acting well, while watching
- Breadth has improved, NH-NL & % above 200d
- Handful of stocks basing stage 1
- Inflation coming down, CPI
- To test the market with real money
2/ I know full well that we could have another leg down in the market so I have minimal dollars at work to test it. Nasdaq is still under the 200d.
I also know that markets look ahead & some signs are strengthening.
This GAME is about making money, not being right or wrong.
3/ Scaling into positions is a great strategy. The great traders scale or pyramid into positions, to make sure they are working. They don’t go in at once.
Great traders test the market w/ sm positions for minimal risk.
5-Year Perf:
- Crypto Port: +237.4%
- Growth Port: +154.4%
- Index Funds: +55.7%
- IRA Port: +36.6%
S&P 5-yr Benchmark: 56.8%
2/ 2022 was a rough year for many, w/ the Nasdaq down 33%.
I should have done better, based on my sells in the fall of 2021.
Although I started to go to cash in the fall of 2021, I stubbornly held partial positions into the 1st qtr of 2022 & a few names throughout the year.
3/ The most disappointing aspect to my investing in 2022 is the IRA. I opened the account in 2014 & it has performed well but my lack of action (selling) in 2022 set it back by nearly 1/3rd.
I made this investing mistake in my 401k in 2008 as well.