What's your trading strategy with the small caps?
Investorandsurfer
If you have any, of course.
No. 1-4
Sergio13
Stock drops 70% end then? stop out or wait? What you result of investment yeld with stock wich fell down?
1 Reply
Value Digger
Editor
Sergio13, falling 70% from the original buy price is not an everyday thing. But if this happens, I will re-evaluate the situation and judge accordingly.
Value Digger
Editor
PrivateTrader, yes I have a price target range in many cases. However, I regularly check the corporate and sector developments to adjust my price target accordingly.
PrivateTrader
And, although it's been awhile since I've read your articles, as I recall, before you enter the position, you have a general price target range, correct?
Value Digger
Editor
Good question. Let's say I want to invest $100 in a small cap. In this case, I will initially invest
30% of this amount. I will invest another 40% if the stocks drops 25% from my initial buy price and I will invest the remaining 30% if the stock drops 50% from my initial buy price.
