I appreciate you being truthful. I believe what you're saying. But look at your loss in this as tuition paid for a valuable lesson in investing/trading. Look at what happened to cause you to lose more than you were willing to gamble. I lost my ever loving arse in a bunch of penny stocks since I first started messing with them over 25 years ago. But I never gave up, and have made some very successful trades as well. There are ways to make money trading these and ways to limit losses.
I think the most important thing to do is to know at what price you will sell your stock at, BEFORE you even purchase it. Say you're interested in buying a $4 stock to keep the math simple: Buy at $4, but hold it until one of two things happen; it drops to $3, or it appreciates to $6. With that strategy the most you can lose in that trade is 25%, and the most you can gain is 50%. In other words how much are you willing to risk for a certain reward.
Keep it all within your comfort zone. A little fear and greed is necessary to trade successfully. But too much fear and greed are profit killers.
With too much fear, you're not willing to accept enough potential loss for a potential huge reward. And with not enough fear you're more likely to ride a stock down to a point of no return.
The same goes for greed, with too much greed you won't sell because of what you might be missing out on if it continues to go up. It's a blast watching your online portfolio gain an extra $1000 each time you hit the refresh button on your web browser. But those are "unrealized" gains. To actually "realize" a gain you MUST sell, and that's hard to do on days like that. Yeah you'll kick yourself if you check back 3 days later and see you left another 100% gain on the table. It happens. But if you check back later and you see it's down 50% from where you sold it's a wonderful feeling that you actually locked in a profit rather than gave it all back. But a little greed is required or you'll frequently see yourself always getting out of a stock too early.
Finally, to be able to trade profitably the stock needs to be liquid enough to allow you to close your position quickly. I like to look at dollar volume trading hands rather than just share volume. If your position is say 25% of the daily dollar volume trading, you're going to have a very difficult time unloading your shares quickly to lock in gains or to limit losses.
AI
