You know that moment when you just give up and decide to sell, no matter the price? You’re thinking, “I’ve had enough of this! I don’t want to think about you anymore.” This is after you’ve waited for so long, hoping and praying that a bounce would finally follow. Capitulation.
I capitulated today. But just in a daily scale, okay? Yesterday, I chose to keep 35% of my total position in GMAP, just in case its uptrend slows down instead of the definitive reversal it did today. I knew it was already suspicious when the hundreds of thousands of buyers that were so willing to buy above 10 pesos were missing today. So, when I saw a buyer at 9.96, I sold half of my remaining position. I kept on waiting for the bid volume to thicken up. In retrospect, I don’t understand why I couldn’t have sold the rest of it at 9.80. I definitely had an opportunity to exit the trade. It was breakdown and it should have been clear. Tsk, tsk. I guess I thought I was patient enough to sit through the correction. I don’t think I expected the correction to be as deep as 8.32! 9, yes, but not 8.32. I sold down 8.75 to 8.52. It reached subsequently reached a low of 8.32 and went to as high as 9.26 from there. See, I capitulated. Sayang din un! I missed at least 50 cents. Silly me!
You know what, I think I should know better. I’ve been in this kind of scenario several times before. I can stomach the first dive, but break its new found support, and I’d puke! Then boom! My stock goes flying. This experience reminded me that no matter how bullish I am of a stock, if it’s time to sell, it’s time to sell. And…I should never make the mistake of thinking I can sit anything out (applies for short-term trades only). LOL!