About my 2 cents

Think about it, it doesn’t matter what technical tools or fundamental stories I am using to back up my decision on a trade, it is essentially my 2 cents in the end.  All I am doing is to build a supporting structure using chart patterns, momentum indicators, fundamental story, etc. to give me confidence to execute a trading decision.

An interpretation of a chart is nothing more than my 2 cents in attempting to forecast the short or long term direction of the price action.

My belief in the fundamental story of a stock is nothing more than my 2 cents in attempting to form a vision of the future.

Nothing is ever guaranteed in life and everything has its own risk; but it all starts with our taking a position or direction based on our 2 cents.

History has shown that while it is in our nature to take risk, it can be catastrophic to take risk for granted.  Our 2 cents can only takes us as far as we are correct (aka being right); but to ignore the risk (aka the cost of being wrong) will be foolhardy.  This is why we must always take precaution to cut our losses when our 2 cents turned out to be worthless (aka being wrong).

Because it is ONLY my 2 cents, there is no need to prove how right I am.  If I’m wrong, I can throw my two cents away.  In other words, don’t pay top dollars to keep your two cents and learn to cut your losses quickly folk!

3 replies

  1. just stumbled across your blog………owig to my interest in DMRC -of which I am a large shareholder and have been for more than 5 years. Have many insights into DMRC and am located in Rochester NY, home to Wegmans, DMRC’s first ‘barcode customer’. Keep up the good work! And let’s hope for that short squeeze that really should happen soon!

    • Thanks John for your feedback. Good to hear from a long-term investor of $DMRC. You are definitely a very patient investor for having hold it for more than 5 years.

      Cheers!

  2. Had to smile at the two lines ”..short squeeze that really should happen soon!”
    and
    ”…have been for more than 5 years”.
    The eternal optimist.!

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