The mental state behind this type of strategy is denial. People believe they are reduce their initial entry price by continuing to obtain more as the stock’s price falls away. It’s the modus operandi of distressed traders, traders in an anxiety. As a strategy it is hardly ever effective. Generate matters worst, you’ll magnify your losses if the stock keeps dropping.
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Do not create a technique that helps to make this so own to be tied to stock charts all day to have success. When you create strategies like this and miss a good trade anyone are not in front of pc it can be very annoying. Instead you should again use automation and software comprehensive this analysis for as well as trade in line with its findings and your trading best invest principles.
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