Trade the Trash, Don’t Invest In It

Too many people treat trades as investments.

They’ll buy some trash stock with momentum and on hype, not knowing what they own.

They might have some quick short term profits, but they ignore the warning signs and keep holding.

Eventually their unrealized gains disappear, yet they still bag hold believing it will “come back.”

The serial diluter $GNUS was a perfect example of this last year. It rocketed from $1 to $10 on cartoon network hype.

People bought at 3, 4, 5, 6+ believing the hype. They held, not knowing what they owned and not taking profits.

It’s now back close to 1.

Trade the trash…don’t invest in it.

1 thought on “Trade the Trash, Don’t Invest In It

  1. Pingback: GME/AMC, Shorts, Robin Hood, & David vs. Goliath Post-Mortem: It Was Never What You Thought It Was – StockWonk

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