Being right and sit tight is the only way to EARN BIG in the stock market. Even though it is HARD to let the profit run instead of letting the loss run, which is the human nature!
My holding for the long run rule is:
IF after reaction, a new higher extreme point is made, then continue to let the profit run.
SO, if you want to buy in, DON'T BUY IN THE REACTION ALTHOUGH IT IS CHEAP, buy ONLY WHEN THE PREVIOUS EXTREME POINT IS BROKEN OUT because it signals the up trend is still valid.
BUY IN THE REACTION IS A PURE GAMBLING, ALTHOUGH IT IS CHEAP, because the market can go either direction.
Please note, I don't recommend the above stocks. I just use them to demonstrate how to follow the trend.
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