A fake in basketball is when a player pretends to either shoot, move or pass and does a different action in order to separate themselves from their defender. Sometimes, we can also see the stock market making fake moves, like people doing them on the basketball field. A sudden up and down is somehow deceptive. Investors should see through the intention and roll with the punches.
SuperWonderTrader : Just be calm and wait, have your base line for indexes and favourite stocks, keep an watch on 200 MA and EMA. If they are below the base line, go for it, otherwise enjoy.
ZnWC : How do you deal with fake moves made by the market?
I called stock market 'fake move' (FM) volatility which happens all the time. It affects me emotionally like a roller coaster ride but I'm learning to manage it ... and embrace it .
The true investor welcomes volatility. A wildly fluctuating market means that irrationally low prices will periodically be attached to solid businesses...
Warren Buffett
I invest in the company not the share price hence any FM will not affect my long term investment plan.
But if you're a skillful and experienced trader, you can spot the FM and avoid the trap (bull or bear).
doctorpot1 : If we don't time the market, then we won't be worried about fake move, unless they are faking it for years which is probably not possible
However, when I need to make a move, I usually make them 3 to 4 hours after market is open. This is because, the day traders will packed up and gone home by then. They will have probably close their fake move for the day, lowering the number of "fakers" in the market
cola1010 : To guard against fake move schemes, research the stocks you own to better discern false market trends, and avoid overreacting to fake moves or dramatic price moves. Please do not try to time the market, it is extremely difficult for investors to make large profits by correctly timing buy and sell orders just before prices rise and fall.
Z00Moo : BBBY $Bed Bath & Beyond Inc (BBBY.US)$ Tricky D**k.
Always Hungryy : I wanted to sell as it was a 8% gain. but shame on me for being greedy and waiting. now back to breakeven. but that's cool, it will go up next week. earnings!!
jitter : Do not all in the cash, always keep in mind that there might be reverse trend. Keep pools of money for next averaging, brace for long holding.
John Hollins3 : nue, up beginning and down
TLim77 : Hold a longer term market view so as not to be fake out by the short term movement. Market short term movement is like a roller coaster ride. Just be careful not to get thrown off the ride before reaching the destination.
70957320 : SSDD
Same Shit, Different Day &
It’s a round world for a reason…
Mac
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