Euromoney Institutional Investor
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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