It's time to cut losses again. I know that many retail investors won't take profits and sell in tranches within the cunning range, but will feel fear after the situation turns bad and breaks down. At this point, it's not a stop-loss position, but rather a stage for cutting losses. For example, when the position broke 2430 yesterday, it was no longer a stop-loss position. The stop-loss position was when it broke 2515. Now, you need to consider whether to cut losses or wait patiently. This depends on whether you bought the right stock. The meaning is, if you bought the right individual stock but at the wrong price, which is a common mistake made by ordinary people. First, check if you bought the right individual stock. If you did, then wait patiently, don't recklessly cut losses or unnecessarily add positions. Learn from the experience and try not to chase high prices again.
For instance, Patek Philippe watches, April 2010 was the month when the market experienced a significant drop. I had a manager in the main room who suggested buying 600763 at around 13 yuan. He asked me how high it could go? I said it could reach above 16. But because of over-optimism, when the stock price reached 14.68, it followed the market's decline all the way down to 2319, where the stock price fell to 8.02 yuan. If you didn't timely take profits or stop losses, missing the selling opportunity, during sharp declines, you need to assess whether the stock is poor and needs to be cut, or if it's good, you should maintain patience and wait. This is my philosophy stock - if you buy the right stock, don't recklessly cut losses. After hitting bottom at 2319, the stock price surpassed the new high of 14.68, so there was basically no need to cut losses or add positions. This individual stock has no concept of the overall market and even set a historical high this month.
As for myself, when operating stocks with rising boards, I treat each stock differently. If it's not a philosophy stock and I make a mistake, I immediately stop losses and exit. If it's a philosophy stock, even if I make a mistake or have a small position, I don't casually cut losses. 600578 is one of my philosophy stocks. On August 24, it hit the rising board, and I bought at the opening price of 8.75 yuan the next day. After breaking the starting price of the rising board, I waited patiently and didn't add positions. On October 12, it hit the rising board again, and I bought at the opening price of 7.19 yuan the next day. After it broke through the rising board price again, I didn't cut losses but waited instead. On November 15, it rose to 7.90 yuan, and I sold half of my position. On November 17, I completed the sale at 7.93 yuan. The average purchase price of the two buys during the rising board continuation was exactly 7.97 yuan, resulting in a slight loss, which can be considered as tuition fees paid. The first failure of the rising board for 600578 was due to the operation line not breaking out, and the second failure was because the double wave segment line hadn't gone up yet. Later, I learned from the experience and bought at the opening price when 002030 jumped open above the double wave segment line, successfully catching the rising board.
Therefore, if you buy the right stock, don't cut losses in panic, but wait patiently, and don't randomly add positions. Now is the time to evaluate the stocks in your hand. If it's a philosophy stock, never cut losses under the manipulation of the major players, because profits come from waiting patiently, while losses come from cutting prematurely. How many times does a retail investor have a good opportunity to cut?