a friend lost 3/4 in equites, and is still in

Quoting aserbfx

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well, noone can predict the markets. so i prefer to give a general advice:
it depends on the time your friend has for his investments.
if he needs the money in the next months, he has to go out quickly. but if so, the decision of investing in stocks was completly wrong.
otherwise he should stay in, as long as he can. buy and hold!

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Quoting silverheat

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hi,

thanks for your post, no he doesnt need the money, but all the people i know went into cash and bonds a long time ago (if they were longterm). so why wasnt his investor?

a subject to be taken up with the investor, is it not ?

my point of view:

why stay in, when we are in a bear market? sometimes i hear from people, when everything looks bad, its time to buy, "this is the opportunity", ... im not so sure about that, for me a trend has to establish, i can go in later, i dont have to be in from the beginning. if you look at the top of the dow, the hsh took nearly two years to establish.

from my experience, it doesnt make sense to hold onto something when i could make money somewhere else. if a bad trade shows signs to move in my direction again, im tempted to hope it will go on forever, and i wont get out when i should, with a smaller loss, then it turns into a bigger loss again.
thats nonsense, i got a signal, i get in, set my sl, managing my trade, search for another signal ... etc ... but i hold my positions for a week max, most of my trades are intraday.

the question is, can i put my forex intraday view on a buy & hold strategie in stocks? or should i tell him, i was wrong, i dont know, do what you think is best for you.

WHY on earth do you wish to do a counter trade to what most every other trader is doing by staying in the STOCK market ?

ONE GLANCE tells you the equities people moved to forex a LONG LONG time ago and are playing it like mad ---- long term "investor" style works on forex (although NOT my preferred method for sure) as long as you read markets well and KNOW when to be long or short.

if you or someone you can find can help this person, it should take very little time to cycle back to where he was originally considering the rate of returns possible in forex, or trading the indexes, for that matter !

but his position needs to be TRADED out of, not INVESTED out of, unless he can simply wait for the market to turn and come back, which will, like the tech bubble, take many years to recover.

Everyone was partying like it was 1999 all over again, and the "go go" attitude was HARD to break --- some smart men and women knew things were too HOT to handle and decided to take their profits and SEE where things were going next, but the rest (as humans always do) just kept partying !

YOU have to have the inner honesty and ability to KNOW if you can really help him or not --- YOU know the success of your method and you know how many pips a day you have to produce to increase this persons account --- if after HONEST appraisal of your abilities you are NOT good enough, find him a really good trader who can daytrade or short position trade his forex or index account and in a few months (assuming he has the capital required) he could be right back to where he was and probably better.

NOW, before you even consider the question ---- NO --- by law, once ive given you this information i cannot even think of helping him personally and i have neither the time or inclination to do so because im already doing this for others !

find some hedge fund (hedge funds DONT always hedge, its simply that they can go long and short with the market which a MUTUAL cannot ) that is returning decent results and let him transfer and GO with them --- its what most others are doing at the moment if theyre not hiding in cash !

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