Introduction
It is light speed to see GE stock bounced back quickly. I did some analysis before May 15, 2020, and made purchase of 40 share at price $5.52, and I saw the price went up over 10%, so I thought that $5.52 should be bottom, so that I made another 500 shares on May 22, 2020. GE has had time to maintain investor confidence, 28% loss from March 27, 2020 will take 28 years if interest is 1%. I like to write a short report on this position.
GE holdings
Actionable Items
I have to think better to do risk management. If GE stock had more than 28% drop from March 27, 2020, then it is less risk to invest more on May 15, 2020. I should think about investing all cash $11,000 into GE stock, so that I can catch full spread of rebounce and in short time I can benefit over 30% return in two weeks.
I have to measure the risk, I did choose 40 shares on May 15, and then 500 shares on May 22. I think that in order to fully take advantage of low price in 30 years, it is better for me to investment $10,000 US dollars on May 15, 2020.
Think about more and look into short term investment, how to manage risk.
If I made purchase on May 15, 2020 with all cash I had on my Ameritrade.com, $11,000 US dollars, then in less than two week, on May 27, 2020, the return is 32.07%. The return is $3527.70.
I have to have a target to make money. In reality, my return on May 27, 2020 is $508.38, 13.13% from March 27 2020 to May 27, 2020.
No comments:
Post a Comment