Jeff WParticipantNovember 5, 2020 at 10:43 PMPost count: 202
@48:30 in this weeks video Sean mentioned about being concerned about being down a certain percent on a position. As a long time subscriber and even longer investor. One of the hardest things to overcome is the concern about how much a position is down. I can’t tell you the times I’ve owned a position that is down and sold with lack of patience and then look back a year or so later and see that its way up and I would have been profitable. This system works and I learned to trust Sean it’s what I pay him for. If it didn’t work I’d be doing something else instead. And the fact that he’s a believer and I can pray for God to lead him its just icing on the cake.
Blessing you all..
Thanks Sean for your hard work and diligence.
Love this new website and the fact that Sean is on his own site with no restrictions.Sean HymanKeymasterNovember 5, 2020 at 10:58 PMPost count: 4536
Thanks, Jeff. I sure do appreciate you sharing that. It’s great for subscribers to hear from other subscribers that have been around a while.
To your point. Example: BBBY, our most recent sell/profit. It’s a textbook case of the things I talked about in this video, like the path value stocks take. The yellow line shows what I drew out on the latest weekly video.
The blue circles were our buy-in points. Because of our money allocation strategy, we were able to sell all of our shares at a price that was still under our original buy-in point and still make 25% on that investment. Some of you made far more, because you happened to get in at even lower levels.
But you’ll see, it fits in the average holding time horizon I talk about. Directionally, it did what I said is the typical path of many value stocks. And we made 25% and the stock never even had to trend higher (than our original entry) for us.
Additionally, people would think that it would take “forever” to go from the $3’s to $26’s. After all, think about how many doublings that is and what % of a move that is. It’s huge. Yet from April to October it went from the 3’s to $26ish. A mere 7 months. This is also a reason why you don’t want to quit watching your stocks just because you think they’re down a bit and may take a while to come back. With value stocks, the entire picture can change drastically over a period of days, weeks to mere months.
And when do profits come in value stocks? At the tail end of the investment, in the final weeks and months of the investment.
- This reply was modified 3 weeks ago by Sean Hyman.
Attachments:You must be logged in to view attached files.Jeff WParticipantNovember 5, 2020 at 11:10 PMPost count: 202
That was a wild ride there on BBBY. especially going from 6.96 to 17.xx then back down to 3.43 then back up to 26.. Emotions have to be in check to not get worried that you missed it. Emotions don’t really do well with volatility without training.Sean HymanKeymasterNovember 5, 2020 at 11:27 PMPost count: 4536
Yep. And some had such favorable entries, they made like 20-30%, 2-3 times on it. ha-ha.
It’s the ball that people can push underwater for only so long. Then it comes rocketing back up. It’s our job to be patient for the rocketing back up. All recoveries aren’t quite that fast. But they’re similar, even if they just happen over a longer span of time.
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