I've finally had the courage to take my loss and close out my deep-underwater SRS position. I bought these shares back in April for \$48.08 as SRS is testing a long term support. The next day, SRS tanked over 17%! Having been delusional to myself, I held on.
This is a failed trade right from the start. The biggest mistake is not setting a stop even though the price is sitting on a long term support. A support is only a support until it fails. And when a long term support fails, it usually does so spectacularly. A better trade should have been to establish a short instead when it breaks below the support, well, obvious to everyone now in hindsight.
The total loss from this position is about \$800 on a \$1500 principle. Horrible, and not just number-wise, to say the least.
[caption id="attachment_1558" align="aligncenter" width="500" caption="Ultrashort Real Estate"][/caption]
[caption id="attachment_1559" align="aligncenter" width="500" caption="Ultrashort Real Estate"][/caption]
: http://traderpau.files.wordpress.com/2009/07/2009-07-08-srs.png : http://traderpau.files.wordpress.com/2009/07/2009-07-08-srs_prop.png