If you would like to ask our webinar guest speakers from WS Blue Whale Growth Fund, Taseko Mines, Kavango Resources and CQS Natural Resources fund a question please submit them here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
It is more important than you think. MMs will chase stops relentlessly. You know this and is the reason you have been harping on about it for weeks.
Beginning to look like the wider market does after the retrace. That's what I see just now, you understand. Header getting a bit dated.
The fact that MM's can see your stop loss is a very minor disadvantage. Not using them because of this is like throwing the baby out with the bath water.
Here's a good article which explains the pros and cons.
https://www.investopedia.com/articles/stocks/09/use-stop-loss.asp
Yes tc, they can.
Depends on what % you set your stop loss from the sp at the time you do.
Either way I don’t set them and it’s up to the individual to make their own decisions with their money. Can’t MM’s see where people have set their stop losses if they’ve set one?
Stop losses aren't perfect however I believe the pros far outweigh the cons. Th e scenario you describe is extremely unlikely to happen and does not justify the non use of stop losses by any stretch of the imagination.
Personally not a fan of stop losses.
Example.
X company sp is £1. You set a stop loss at say 90p. For some reason sp takes a hit and goes straight to 70p on some bogus news, your stop loss cashes out at 70p not at what you set it at 90p.
However whilst the stop loss has cashed out your entire holding for 70p, the sp recovers above 90p on the same day.
Stop losses work for plenty of people I suppose and depends on the risk you want to take. Nothing to say if it went to 70p it may go lower so at least you have some of your monies back, on the flip side it could recover.
I wouldn't look that far ahead, necessarily. Might get a half year trading update in the next few weeks. The facts for Sig. I go with their last update myself, rather than anybody having a stab at it, or not at all in a general blurb.
2reincarnated, you are taking too short term a view on the share price. I hope you're not a day trader. Over 95% of gamblers (I won't call them investors) lose at this game.
Just because it might be 55p on Friday is neither here nor there. It might be 45p by the end of next week.
What any investor should be concerned about is the collapse in the price which has happened very quickly from its recent high. That's why a stop loss is essential. I'm currently out of the market and my stop loss has meant I've made a far healthier profit than if I panicked and got out now. I can imagine a lot of investors on this board aren't getting a very good night's sleep because they're worrying the share price ifs going to fall further. That's no way to invest.
Set a stop loss and sleep easy. Protect your capital and invest in good companies. I'd put SIG as an adventurous play at the moment. If you invest in the company you've got to be prepared to lose a lot of money or make a lot of money. That risk can only be mitigated with a stop loss.
The wider market is going to fall to the end of September in my opinion. So a stop loss in the current environment is more essential than ever.
this could be 55p by Friday. What does that tell you about the SP direction? what will it then be in September?
dddd333, why are you regretting your stop loss being hit? Is it because the price has gone up a little bit since then? That's no way to carry on. Has your stop loss meant you've got out with a profit? If so what's the problem?
You shouldn't be watching the price every day. The price could easily fall below your stop loss today or tomorrow, then how would you feel? You need to take a longer term view.
In my opinion you should always set a stop loss whenever you buy a share. Protecting your capital is vitally important. You won't get it right every time but you will get it right more often than not by protecting your capital so you can invest in other companies where your stop loss won't be hit. As long as you have investments where you allow your 'winners' to run and run you will make money.
The people that take profits too quickly and don't set stop losses are the losers in this game. I suggest you read The Art of the Execution. Most of what's in it is excellent advice. I disagree strongly with the author on one aspect of what he says though. Do not buy shares when the price is falling. Other than that it's an excellent read with great advice.
Also you need to realise that nearly everyone that posts on BBs hasn't got a clue. All their bothered about is trying to persuade people to buy the share because they want it to go up in value. They only have their own selfish interests at heart.
With me you'll get an honest assessment of the true story of what's going on with the share and the wider market. There is 99% confirmation bias on BBs and all I'm doing is my little bit to redress the balance.
If you're serious about becoming a professional investor you need to treat it as a business. The first thing you should do is invest in Stockopedia. Then you won't need to rely on BBs which are notorious for being very bad places to get your 'tips'. You don't want tips. You want good shares that you have researched yourself properly. Stockopedia will show you the way.
Then you can treat BBs as a bit of fun and a source of the occasional bit of useful information.
But I did see one of them Harry Krishna types and his dog a while back. They went in the betting shop with the Big Issue bloke.
It is almost beyond belief to pick the wrong side every time.
You do not bump into sages in the High Street and the probability of even one economic mastermind selecting Sig alone to benefit that set of investors with his brilliance is limited.
I'm asking myself the same question
'So far, in my brief time investing, every single time I have listened to people on these boards, be it ramping or deramping, I have regretted it. I guess it's all part of the learning curve.'
Why are you still taking tips from here if you have regretted it?
I don't check the board much. I'm a bit of a newbie. Don't have much invested, but a lot for me. I bought into what Mick was saying, panicked and set a stop loss. Which was hit on Monday. Let's see how this plays out. Currently hovering above my stop loss level. So far, in my brief time investing, every single time I have listened to people on these boards, be it ramping or deramping, I have regretted it. I guess it's all part of the learning curve.
Yes but why are the institutions moving on? That's what I'd like to know.
The stock has not fallen on any bad news, it is simply selling pressure by institutions whom are moving on. It rose from 40p to 65p very quickly and hence a pullback.
2reincarnated, what are you basing your subjective opinion on?
yes i do!!! ''once mad always mad''
There is nothing to say we won't be back to 65p within a couple of weeks
You might get your 4% today....
Oh well..... Long term hold for most.
SIG already down around 16% from it's peak. Another 4% by end of September shouldn't be too difficult to see.
I hope you all took my excellent advice and bailed before the predicted correction.
I can't say fairer than that.