02-16-2019, 06:11 AM
(02-16-2019, 03:54 AM)crimsonghost747 Wrote: I am very much a believer in the fact that if you choose your companies correctly, then over the long term it doesn't make a big difference if your entry point was $45 or if you managed to bring it down to $44 with a succesfull option strategy. Sure the latter is better, especially if you can do it consistently, but is it worth potentially missing oMy last post on this thread. We can blow up an option trading thread if you wish
Long story very short: Just because you made a profit it doesn't mean that it was the right move to make.
And briefly (if I am even capable of that lol) ....
By the above logic any stock we buy now is a mistake because it was cheaper five years ago? I have held a number of quality stocks well over 20 years. In several cases it wasn't a great idea. MSFT, CSCO and PFE come to mind. Just depends what 20 years you pick. And we can cherry pick short term trades all day long. Entry valuation matters no matter how you buy it. Sometimes it matters so much that your success is baked in the day you purchase it, even if you hold it for decades. Sometimes it doesn't matter at all as long as the company truly continues to grow. I am going to continue to do like Warren and try to buy all my stocks a little cheaper and hold the goods ones a long time. Part two takes a while to ascertain. And BTW I regard SIX as a speculative play. Doubt I own it five years from now. I rarely have more than 2-3% of my port in speculative stocks at any given time. I am overweight cashy investments, short term bonds and boring DIV stocks so I think that is OK.