Category Archives: Position Sizing

Three Strategies That Work Best Right Now (and Why Counter-Intuitive Thinking Is Key)

I got an interesting question earlier this week while in Las Vegas where I was speaking at the MoneyShow… what works best right now?

Usually, that’s a question related to which specific stocks, bonds, ETFs or other funds you want to buy. But in this case, the person asking wanted to know what kinds of investment methods work best given current market conditions and how you adjust to all the volatility gumming up the works.

That’s a savvy question, especially since there’s a very counter-intuitive answer.

Asking which stocks are “best” is only half the battle when it comes to big profits. To really hit the home runs you and I both know are out there, you’ve got to know which methods work best and when to use them.

Right now, for example, the markets are completely dominated by tweet-driven trading. This favors day traders and the institutional big boys because it caters to the short-term trading methods they use.

That does NOT mean you’re out of luck as an investor, though. You just have to change up your approach a bit…

Posted in: Position Sizing |

Don’t Make These Four Profit-Robbing Mistakes

There’s a lot of discussion at the moment about which way the markets are going to go from here. Some of it’s good, but frankly, a lot of it’s bad.

Like that’s a shock!!??

The media loves negative stories because that’s how they keep you hooked and emotionally off-guard. Wall Street, of course, plays along because they know negative headlines make it easier to separate you from your retirement.

The other thing to think about is that they’re playing “catch up,” whereas we’re often months ahead of developments they’re only just getting around to reporting.

Like for example, the possibility of short-term market turbulence but higher prices ahead… that’s the latest from Wells Fargo’s Christopher Harvey who’s a noted bear and seconded by Merrill Lynch’s Stephen Suttmeier – both as reported by CNBC earlier this week. Or Bloomberg’s report that JPMorgan analyst Stephen Tusa now considers the $6 target he’s got on General Electric Co. (NYSE:GE) to be “generous.”

Apple Inc. (NasdaqGS:AAPL)’s pivot, meanwhile, is beginning to draw attention for the reasons we laid out more than a year ago when I first told you about why services could double that stock’s value. Tesla Inc. (NasdaqGS:TSLA)’s in trouble…

You get the idea.

Anyway, the reason I am bringing all this up is not to take a victory lap.

There are four big profit-robbing mistakes investors are making at the moment – and want to make sure you’re not among ’em.


(Click here)

Posted in: Buy and Manage, Buying Dips, Limit Orders, Lowball Orders, Position Sizing, Rebalancing, Uncategorized |