Retail investor: I'm holding a few stocks down bad. Just waiting to get back to even, then I'll sell.


Me: Why sell at even? If they're great companies, why bail the second you're whole?
Retail investor: I mean... I just want my money back without losing.
Me: & if they're TRASH? Why hold a falling company at all, just to avoid admitting a loss?
Retail investor: ...so either way, "waiting for even" is the wrong move?
Me: Every time. The stock doesn't know your cost basis. Either it's a great company worth holding, or it's not. "Even" is an emotion, not a strategy.
Retail investor: So judge the company, not my entry price?
Me: Exactly. I never anchor to what I paid. I only ask if I'd buy it today. If yes, I buy shares, sell 1+ year portfolio secured puts, & buy 1+ year calls. Keep ratios in check to be fine in volatility. The simply be patient...
Don't hold a stock hostage to your own cost basis...
"Waiting to get back to even" is an emotion, not a plan.
Judge the company, not the price you happened to pay.
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