Sold Rex International today at 0.255, as it falls below my stop-loss. It was a small position and I had put a mental stop-loss, as I bought it due to high oil prices but I am not very knowledgeable about the company.
In addition, Rex is much smaller than oil majors, which means that it has higher risk.
The sale and loss have reminded me that I should be more reluntant in buying stocks. Whenever I discover a new stock idea and had the impulse to buy, it is better to wait and set a lower buy point. And I should only buy stocks of companies who are of good quality.
In addition, if I do not have strong conviction in the stock, it is best for me to put a mental stop loss i.e. treat the market price trend as knowing more than me. (Hmm, if I do not have strong conviction, why do I buy the stock in first place? It must be due to greed and over-confidence.)
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