Euromoney Institutional Investor

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Stop lossed out of this trade as gapped down overnight and then dropped further to stop-loss.  Lost about £210.  One lesson is not to hold positions overnight - I thought I would be safe with this stock because of its low liquidity - however enough trades can come in during this time to create unfavourable liquidity.  Additionally this was the weekend so a far longer period.  As it transpires my stop loss was the bottom and the price recovered a little.  More importantly for me is the fact of picking another losing stock.  This though will happen.  It might suggest I should paper trade longer to note such patterns?  I certainly need to think about my loss-reward ratio.  I will enter all my trades from Money to iBank as it keeps a clearer record of profit and losses, and running account.  Having done this I can see that in the main I have been successful - reached £2000 profit in three weeks so assuming last week would be equivalent to tax I would have made what I am currently earning and based on my first month - an impressive start.  Beginners luck or am I a natural?  Also in the context of difficult volatile bearish markets.  Let's see whether the pattern continues with US stocks.

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This page contains a single entry by Stuart published on October 27, 2008 12:56 PM.

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