Avoid the Big Averaging Mistake
When the market is acting poorly there is always a temptation to start predicting that the worst is just about over. It just isn't very interesting to stand aside and wait it out, but few things are more costly than serial bottom calling.
What wipes out more traders than anything else isn't making single bad bets but compounding an error by averaging in further. It is so easy to convince ourselves that the stock we thought was a great bargain at $25 is an even better bargain at $20 and then $18 and so on. ...192 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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