Buy and Hold is an outdated strategy and doesn't work when the volatility is high as has been the past few years. Imagine applying the buy and hold principle to RIMM or Nortel or any of the stocks during the tech bubble of the early 2000s. CISCO was over $60 in 2000 and in the teens today. Short term trades is the way to go to make money in the current markets, IMHO. Lots of money to be made in options trading as well when the volatility is high.
buy and hold is dead. for those of you who like the trade, I prefer swing trading. its pretty easy RSI is my favourite tool. find out where the bull market is,and learn about RSI...ull do pretty well
Actually, the OP was talking about daytrading which has really fallen out of favor now because you just don't make much money at it.
As for swing trading, yes, I am also leaning towards that view but I don't have the time to keep an eye on the markets.
you don't have too, basically you pick a sector thats bullish, pick a good stock from that sector, when theres a sell off and a stock becomes oversold ( rsi under 30) you buy it and hold it for a few days and ride the bounce back. in a very weak market rsi can go down to 15, in a very bullish market ull be lucky to get an rsi around 40. this strategy works go on google finance and look at charts with rsi added in. there are also other indicators you can use as well like the moving averages. look up the terms "golden cross" and "death cross" very important and easy to understand. this is a much better way to trade than intraday day trading where you are in and out in a few seconds to a minutes, much less stressful.
you can do both, have the best of both worlds. I have money that I don;t touch, and money I play with
You must be holding Canadian bank and utilities.
I guess I'm a professional as that is how I have made a very good living for the last 10 years or so. I've never had much success with stocks except as a quick dividend capture grab which might last only a few minutes in market open time.
stay away from them unless its for a quick trade. there will be a banking industry in the u.s. of course but do you remember bear sterns? thats the fate of all the too big to fails in america, they are insolvent. JPM might not be, that nim unsure of, problem is we don;t know the junk on their balance sheets, or I should say just how much toxic assets. as soon as rates rise their treasury holdings and real estate holdings plus other assets will fall and then they will fail.
