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One look at the chart of VHC below tells you why we are traders and not investors:
Each of the pink Pullback Off Highs lines were buying opportunities:
Trade 1: Bought 300 shares at $21.64, sold at $24.23 -- total profit of $777 or 12%
Trade 2: Bought 300 shares at $21.70, sold at $25.69 -- total profit of $1,197 or 18.4%
Trade 3: Bought 300 shares at $24.50, holding at $26.50 -- total profit so far of $600
Total gains: $2,574!
If we were investors though -- we would have bought 300 shares at $21.64 and at $26.50, would have a gain of just $1,458. We'll continue to be traders and enjoy the extra $1,100!
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Why We Are Traders And Not Investors 0 comments
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