Avoid big loss: Define big loss - over $50 dollars is a big loss

 Sept. 30, 2020

Introduction

I have to learn how to control my gambling behavior, set stop loss early; Do not worry about missing Canadian oil stock rebound. I need to set $50.00 dollars stop loss for each bet. 

MRO 1000 shares on Sept. 28, 2020

I had over $180 dollars loss on MRO 1000 shares

I like to work on research how to stop loss with small amount. Otherwise I will lose my capital quickly. I have to learn how to stop loss early with small amount. 

Do not think about betting on big amount like 1000 shares for MRO, and also I need to check 5 days range of MRO stock first. What is range of swing when I like to make purchase? Use the range to determine how many shares I should bet on. 

For example, I like bet on MRO when price was $4.34/ share, five day minimum price is $4.06, so I need to take risk of $0.28/ share. If my limit of one bet is $50 dollars, then I should at most purchase 200 shares. If I do not set stop loss, then I may lose $50 dollars. 

Actually I bet on 1000 shares. The loss will be $280 dollars. 

Actionable Items

Bet on small amount. Try to have loss, loss, loss and big win. I need to learn how to stop loss early, and then catch big rebound if needed. 

I also record the video and here is the link on my youtube channel. 

I also record the video in Chinese to share my thoughts for my future to review. Here is the link.

Follow up

Oct. 17, 2021

I just could not believe what I wrote down. It is so good to read my thoughts and see my growth as an investor. Today MRO stock went up around $16/ share. 

April 21, 2022

I just could not believe that MRO stock price is around $26 dollars a share. I should have just held those 1000 shares for two years, then I will have $22,000 US dollars gain on my Ameritrade.com IRA account.

Is it too hard for me to learn how to be a long term investor?