Sabr stock: Why I lost near $900 dollars from June 8 to Sept. 26, 2020

 Sept. 27, 2020

Introduction

It is good practice to learn how I should choose stocks to invest. I did learn lesson from investing SABR stock. I lost near $900 dollars, and I like to write down lessons I should learn. 

Sabr stock performance

Here are lessons I learn:

1. Do not think about long term. SABR stock is good to invest on long term, but short term swings will scare the investor like me away;
2. I purchased highest price on June 8 at $10.43, and then continued to purchase 10 days at price $8.315. 
3. I should not add more positions in less than 30 days. I could not tell how much lower the price should be. It should be at least 30 - 50%. 20% is nothing to relate to technology stock related to coronavirus infected business - travelling. 
4. My friend advised me to move on Amazon stock in June. 
5. Do not judge the stock by price, cheaper is not good. Check growth and how many investors bet on short term;
6. Do not buy $3000 for one stock. I could not handle the stress of $3000 dollars. The losses was hard to manage. 

Time to spend on stock investment

I should ask myself if I learn something about investment experience. I do learn but not too much. There is not too much about companies information for investors. I did learn about Texas headquarter, but other than that, I did not learn enough compared to my loss and time spent on investment. 

I have to think about alternative technology stocks, like EXPE, Zillow, Oracle, or Docusign, cloud solution, Facebook stock etc.

It is the same problem to show up in my other area of life experience. I do not pay attention to the gap I have compared to other investors. I need to expedite my research and catch up more before I make decision. 

My decision making still has flaws. I should learn when the market is too high, on June 8, all my losses are recovered. And I have over $3000 dollars gains. I should wait at least one month, and take $3000 dollars to invest and it is time for me to learn how to play stock market using small amount. 

From all my life last 30 years I should learn how to measure the risk, how long it takes me to learn something. Management risk is always important for me to be successful.