Hi AlgoTradeAlert! I am not being coy, but it depends on the persons time frame. If the person asking me was near retirement or less risky and just bought $ARKK $ARM $NVDA last week before xmas, I would say sell and minimize your loss to 5% or less, and you can always buy again.
If they were 25 yrs old trying to invest for 40 yrs, I would tell them to put in stops near the 21 or 50 day ma. Each stock and chart is unique but I am generalizing. Thank you for the question!
In both cases I would also advise to look into buying hedges/insurance as options are still historically very cheap.
Rallies are to be sold risk or opportunity?
Hi AlgoTradeAlert! I am not being coy, but it depends on the persons time frame. If the person asking me was near retirement or less risky and just bought $ARKK $ARM $NVDA last week before xmas, I would say sell and minimize your loss to 5% or less, and you can always buy again.
If they were 25 yrs old trying to invest for 40 yrs, I would tell them to put in stops near the 21 or 50 day ma. Each stock and chart is unique but I am generalizing. Thank you for the question!
In both cases I would also advise to look into buying hedges/insurance as options are still historically very cheap.