/biz/ - Business & Finance

Who else uses alternative indicators? Like VIX is the asshole pucker factor, but:
PLTR: tech bubble indicator
RIDE: EV bubble indicator
TSLA: global market irrationality indicator
GEVO: meme market indicator
MO: Misery forecast indicator
UUUU: meme commodity indicator
X,CLF: classic commodity indicator

Daily reminder to be more conscious about your profit taking:
>The house money effect - the idea that money you have made on a bet (or investment) is somehow different than the rest of your money - is something casinos depend on to skew the odds in their favor. The house always wins is only true if people keep playing, and one way to encourage people to keep playing is to let them believe that money they have recently won should be set aside in a pot they can feel better about risking.
>Every dollar you have is equivalent to every other dollar you have. Every dollar you lose is equivalent to every other dollar you lose. When you "let it ride" on a stock it is no different than if you purchased that stock at its current price. Would you buy it at this price? If not, it's time to let it go. If so, why are you selling half of your position?

The only logical thing to do is to rebalance your portfolio regularly to optimize the risk/upside of each of your positions on your whole portfolio. Everything else is a fallacy.
For entry level answer to "what portion of my portfolio should this meme be", look up the Kelly Criterion.

Daily reminder that if you can't solve this you should stick to Index Funds/ETFs