This is a deep subject for sure Ken. It brings up a lot of points and/or questions. hanging on like ironman to a plunging single stock could lead to huge losses. As a counterpoint, mvp original buys go in at levels known to have been major IT bottoms going back over ten years, and in truth even more. I remember sitting at breakfats in Nov.1992 and showing my ex how you could open up Barrons new highs lows section for the week and see 1 paragraph of new highs and 4 columns of new lows. I explained how rare it was and what happens next.
When you're in this situation, can it go lower? Absolutely. But are you buying with the odds heavily for you? yes again.
On the other hand, mvp has no other situation where it will tolerate a large drawdown. The shorts have stops and rebuys will sell themselves off if wrong.
As to selling then getting in at a better price, good theory but ask yourself how many times its been done. I have all sorts of emails where people siggest why not wait until ema X crosses ema Y to get in. Nice theory but when you crunch the numbers it works like this time and again: mvp buys at 10, mkt falls to 8, bottom occurs and ema cross says to buy at 11. What was the better entry price?
The bottom line is I've now documented 87% real-time with a walk-forward system crossrefd to the posts for signals and/or audited at C2. Its working for me and my subscribers. I'm grateful for their fees and my own gains but have come to understand that this (and other systems) will be passed up by many people, because of subjects like this. years ago I'd have jumped thru hoops trying to make my point but at 56 have come to understand its just the way it is.
Can't be done perfectly and imperfection leads to fear.
catch-22
I've seen posts saying they are concerned main qqqq doesn't talk to them enough or spy's draw's too large.
last but not least there are several ways to skin the investment cat, and they all work well. I'm really only talking about what works for my application.
You CAN time the market!
But only after you trash the big 3 myths.
Myth 1 - its possible to get every point of every move
...Myth 2 - you'll never have a drawdown
......Myth 3 - you'll never have a loss