狗界豪杰
reacted to
$Spire Global (SPIR.US)$ Yesterday, the stock price plummeted by 50%, resulting in an overnight paper loss of $9,000 (approximately RM40,000). My automatic stop-loss Market Order could not be executed during the night session, leaving me to accept this wave of decline.
I think this is a rare practical experience, and I would like to Share my thoughts on how to respond to a sharp decline:
1. First, identify the reason for the sharp drop in stock price.
SPIR is a stock in the space sector, and I really like its business. In November last year, it signed an agreement to sell certain businesses to another company, which caused the stock price to rise. Subsequently, that company defaulted, and SPIR officially issued a lawsuit statement yesterday, leading to a correction of the price increase and a gap down.
Although this wave of news is bearish, it isn’t severe for me and does not directly affect the business model of SPIR, which I am bullish on.
2. Let's analyze the stock price after the sharp decline.
In my previous YouTube video about "gaps", it was mentioned that when stock prices experience a gap down, it indicates a Bearish market, leading the market to prefer selling off, which is often irrational.https://youtu.be/udX6jEygML8
From a technical perspective, the stock price fell sharply to around $9 last night, even lower than the price before the acquisition in November last year. For me, this price level is an overreaction to the bearish news and aligns with the irrational market reaction in gap theory. Therefore, there is no rush to cut losses; $9 is already a reasonable price in the bottom area (meaning that even if the lawsuit is unsuccessful, this company is likely still worth...).
I think this is a rare practical experience, and I would like to Share my thoughts on how to respond to a sharp decline:
1. First, identify the reason for the sharp drop in stock price.
SPIR is a stock in the space sector, and I really like its business. In November last year, it signed an agreement to sell certain businesses to another company, which caused the stock price to rise. Subsequently, that company defaulted, and SPIR officially issued a lawsuit statement yesterday, leading to a correction of the price increase and a gap down.
Although this wave of news is bearish, it isn’t severe for me and does not directly affect the business model of SPIR, which I am bullish on.
2. Let's analyze the stock price after the sharp decline.
In my previous YouTube video about "gaps", it was mentioned that when stock prices experience a gap down, it indicates a Bearish market, leading the market to prefer selling off, which is often irrational.https://youtu.be/udX6jEygML8
From a technical perspective, the stock price fell sharply to around $9 last night, even lower than the price before the acquisition in November last year. For me, this price level is an overreaction to the bearish news and aligns with the irrational market reaction in gap theory. Therefore, there is no rush to cut losses; $9 is already a reasonable price in the bottom area (meaning that even if the lawsuit is unsuccessful, this company is likely still worth...).
Translated
![What to do when the stock price is halved.](https://sgsnsimg.moomoo.com/sns_client_feed/102894737/20250214/d45cf9089279cdb517edd855e56ad2d6.jpg?area=104&is_public=true)
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狗界豪杰
liked
$Advanced Micro Devices (AMD.US)$ If the Large Cap rises tomorrow and AMD rises with it, it indicates that the recent activity was just a cleanup. However, if the Large Cap rises tomorrow and AMD does not, it is necessary to be cautious about potentially losing Block Orders momentum. If the Large Cap falls and AMD rises, that presents an opportunity to exit and cut losses. I hope all like-minded friends have a successful investment.
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狗界豪杰
reacted to
$Advanced Micro Devices (AMD.US)$![]()
so AMD cannot sell GPU —> drop
NVDA cannot sell GPU —> AMD drop
and the best is deepseek is using AMD —> AMD drop
everything happened —> AMD drop
what’s wrong with the analysts and banker?
so AMD cannot sell GPU —> drop
NVDA cannot sell GPU —> AMD drop
and the best is deepseek is using AMD —> AMD drop
everything happened —> AMD drop
what’s wrong with the analysts and banker?
![Picture](https://sgsnsimg.moomoo.com/sns_client_feed/102467068/20250127/f2e04969bf9603d53cf0679541372bfa.jpg/thumb?area=101&is_public=true)
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狗界豪杰
commented on
$KOPI (0338.MY)$ should I left? Or hold?
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狗界豪杰
reacted to
$Ocean Power Technologies (OPTT.US)$ waiting for the deep
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狗界豪杰
commented on
$Faraday Future Intelligent Electric Inc. (FFIE.US)$ Isn't the new car supposed to be released today? No news.
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