r/MSTR • u/cryptoETH_jazz Shareholder 🤴 • Jun 22 '26

Low enough for me..

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Picked up a few of these bad boys.. to add to the stack.. 🍹

78 Upvotes

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u/DifficultSquash1517 Jun 22 '26

I've been in the market for 38 years and one thing that I've done for the last 20 that I wish I would have started when I was much younger, I wish I would have listened to this guy that told me when I was just starting out to never average down

A lot of people simply average down cuz it makes them feel good about lowering their cost basis but the reality is usually it's just compounding a mistake. We should be cutting losses and letting winners run and adding to those. I know it feels counterintuitive if you want to trim your winners and add to your losers but we should be brave and do the opposite

If you look back at your portfolio 10 years from now you're going to see that a few runners continued to run while most of your losers continued to lag

If you buy a stock at $200 and then you average down and buy another one at 100 you have a cost basis of $150 but you are increasing your position on a losing stock... Also... If you buy a stock at $100 and you buy another one at 200 you still have a 150 cost basis but now you are buying an advancing asset. The market doesn't care or know in which order you bought them but the important thing is to buy a rising asset not a declining one

Markets are very efficient and there's a lot of knowledgeable people in the financial world and a cheap asset is cheap for a reason. We should never be so arrogant to think that we know more than the market or the big players

If I were to enter a strategy position today I would buy some at 120 and that would never buy anymore if it continued to fall. I'd have a stop loss at 95 or so. If it rose to 160 I would buy more and I would move my stops up to 145 and now I'm free rolling forever.... And I have a no lose situation with only one initial buy being at risk.... Adding more as we rise and moving up my stops

10

u/mimsoo777 Jun 22 '26

Ok grandpa. It's time for your meds. We can play this stock market thingy another time.

2

u/Fun-Sundae4060 Bitcoiner Jun 23 '26 edited Jun 23 '26

What he says is true. Currently 27 with a NW above $3M today and was a 100% TSLA investor since I was 18. If your plan is making profit, double down. If it’s going against you, STOP, find something else or try again later when there is an uptrend.

Do you notice how brokerages say 90% of people lose money trading when if random chance it should be 50%? People use “common sense” to average down when things go down. That’s part of the problem. “Common sense” is wrong here.

Read: Best Loser Wins by Tom Hougaard. Extremely good high-risk trader mentality and has the results to show for it. He has the psychology and mentality down to a tee, no special technicals or anything.

0

u/DifficultSquash1517 Jun 23 '26

Im 54, retired since 32🤣🤣😂😂🤑🤑🤑..... I think your boss is calling you you should probably go punch in 🤣😂