No. of Recommendations: 0
Most people tell you that doubling down is a bad idea. If the stock has declined by your loss limit (usually 10 to 15%), you are better off to admit that your timing was wrong on this stock and sell. Then buy something with better prospects.

Value investors who buy stocks that they think are undervalued, have a different situation. If it was a good buy before, its a better buy now. But if the price is going down, how low will it go?

Growth investors will sometimes double down but only after careful thought about it.

If it was supposed to go up and didn't usually you want to sell. But did you give it enough time? When will earnings be reported next? Will they be good?

Usually holding losers is a mistake. Sell and buy something better.
Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.