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Author: Calabogie Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 36696  
Subject: Re: Short question on long exits. Date: 5/21/2001 11:10 AM
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Hey Alfa and welcome to the board. Thanks for posting.

I do not play shorts, only longs so I know where you're coming from in that respect. Having said that, buying a stock and simply setting a limit at which you think is a good profit is just not short-term trading. ST traders plan for the worst which is why we preach stop-loss all the time. We buy a stock, based on our own DD then we set a stop-loss so if the stock goes down from our buyin we limit our losses (the first major rule of short-term trading.)

Once the stock moves above our buyin, we start setting trailing stops to preserve profits (the second major rule of short-term trading.)

Whether to buy back in to the same stock or not depends on what the stock is doing and why. It also depends on the company behind the stock to some degree (much more so than DT'ing IMHO) and is a decision that has to be made at that time.

Hope this helps some but if you have more questions feel free to ask here. We've got a lot of great people on this board and everyone is willing to help which is why most of us like it so much.
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