US stocks are playing against each other. Let's sort it out and share it with everyone
First, let me state that what I'm going to write in this article is not an investment strategy; it doesn't help anyone make money. However, after some research and practice, I think that for retail investors, if applied properly, this strategy can greatly ease their fears and greed, and look at the stock market from a new perspective, thereby increasing the success rate of their own investments.
To use this strategy, the following steps are required:
1. The left-right strategy is only suitable for long-term, unleveraged investors who invest in high-quality stocks. The methods of speculating on demon stocks, speculating on options, and highly leveraged operations have nothing to do with this article.
2. Plan your own investment capital and methods. With a fixed initial capital? Or is it a regular fixed investment? Or a combination of the two? However, regardless of the method, the left-right fighting strategy can be applied.
3. Choosing high-quality stocks requires companies that can see a bright future for the next 5-10 years or even longer. Companies with no clear profit prospects should be excluded, companies that are likely to go bankrupt should be excluded, and the sunset industry, which has no growth potential or is even in jeopardy, should be ruled out.
There is a very suitable stock, that is $Tesla(TSLA.US$ . More on that below. If you don't like Tesla, of course, $NVIDIA(NVDA.US$ It's also OK, $Alphabet-C(GOOG.US$ ， $Microsoft(MSFT.US$， $Amazon(AMZN.US$ It's also OK.
Taking Tesla as an example, I don't think Tesla makes electric cars, but smart cars. One day in the future, all cars will drive fully automatically, thereby disrupting all traditional cars. For Tesla's market share, please refer to today's $Apple(AAPL.US$ Cell phone share. In addition, businesses such as humanoid robots and energy storage also have bright prospects. If you agree, then Tesla's future market value will be ten times or even tens of times the current one. Wouldn't that be an exaggeration?
But why not just go all in Tesla now? Obviously this is irrational. If you buy it on Thursday, you'll be charged 5% on Friday, which is obviously unacceptable. Long-term investment, even fixed investment, does not mean completely ignoring the impact of short-term fluctuations. How can we seize long-term opportunities while avoiding short-term risks? The left-right combat strategy is one of them.
The internal merit method for fighting left and right is as follows:
1. To practice magic, wave a sword... Oh no, I picked up the wrong book. Draw a square with your left hand and draw a circle with your right hand. Do each line with your left and right hands.
2. My left hand is a long-term investor, but I only buy high-quality stocks. Whether it's fixed capital or fixed investment, it's fine. The principle is: Piamad is attached, just buy not sell. Be sure to remember these four words: just buy or not sell.
Unless there is a problem with the fundamentals of a company and it is no longer of high quality. At this point, it can exchange positions, but it still won't sell.
Select a few high-quality stocks from your left-hand account, then wait for an opportunity to go all in!
Another important point: My left-handed account holds all of my funds.
3. My right hand is a short-term speculative short. Just like other bears, they borrow stocks at a high level and sell them short, wait for the stock price to drop, then buy back the stock at a lower level and return it back to obtain short-term profits. But the point is, I don't have a single penny in my right-handed account; I can only wear white wolves with empty gloves.
4. Although the ideas of the left hand and the right hand are not in agreement, they are still good brothers. If your right hand doesn't have money, borrow stocks from your left hand. The left hand is very generous. Not only do they lend money, but they don't charge interest! But the left hand has a basic bottom line: you must borrow and repay! My brother and brother have settled the account clearly, and if they have taken it, they have not returned it; that is absolutely not OK.
5. The above is the core of the operation of left-right combat. But at the same time, there's another core that's just as important: keep your left hand and right hand separate your accounts! You can't mix them up.
Practical review:
The left-handed account is planned to give Tesla 20% of its position. When Tesla's stock price was 200, I opened a left-handed account and bought 20% of the position directly from the all-in heavy position.
By the time Tesla's stock price rose to 270, my right hand was itchy. As a result, Tesla borrowed 6% of its position from the left hand and sold it short. After that, Tesla peaked and fell, then suddenly fell short, leaving a gap. This was an obvious signal for shorting. The right hand borrowed another 12% position at 270 and added a short position.
At one point, Tesla's stock price rose to 300, left hand positions surpassed by 50%, and right hand lost about 10%. Be sure to keep in mind that the two sides must be kept separate! So the mind is not panicking.
Later, Tesla's stock price began to decline, falling to a low of around 210, then rebounding to 260 and then falling to 250. During this period, as the right-hand position declined, empty orders were continuously closed, stocks were bought back, and returned to the left hand.
Throughout the process, Tesla always held 20% of the position on the left hand, which surged 25%. This increase has outperformed the market; the left hand is losing ground. As for the right hand through shorting, the average sale was 270, and the average purchase was 240. The short-term karate white wolf had a profit of 30 per share, and the right hand also won. Keeping accounts separately on the left and right is not only not the pain of stock price bumps, but also doubly happy.
Finally, since the right hand cannot have any money, all profits earned are transferred to the left hand, and they continue to go long, but the profit of the right hand is still recorded on the books. Conversely, if the right hand loses money, you need to write a check, then find the left hand and ask for money to close the position. Even if your left hand is all in, you should always keep a little bit of cash to prevent your right hand from losing.
Why should we establish the two bottom lines of not being able to sell with the left hand, borrowing, and keeping separate accounts? Because I need to curb my fears and greed. People can't always be long, and they can't always be short. Thinking on both sides of the sky allows you to make a more comprehensive judgment on your own. For example, Tesla jumped out and fell, leaving a gap for a few days without making up for it. Obviously, it can go into the market and go short, which is a huge win. At this point, the right hand should take action. Anyway, if you lose money, you only need to stop the loss in time; you also have your left hand covered. When the stock price falls below 250, shorting should indeed begin to make up for profit by closing the position. By operating with an empty mindset, you can avoid the greed to chase a higher position and the fear of not being afraid to buy a position. For example, Tesla fell from 300 to 220, would you dare to buy it? Dare! Since I'm shorting my right hand, I need to make a profit to close the position. However, the left-handed Pimad strategy, as well as the red line rule of having to pay back and forth, also prevented the huge risks posed by mindless shorting, and locked my investment strategy on long-term long term growth. After all, US stocks still have to be made by going long term to make money.
Keep accounts separate from your left and right hands. On the one hand, let your right hand not forget to return your stocks; on the other hand, keep yourself sane and not be overwhelmed by falling on one side. It can also drastically reduce the mentality of stock prices during a roller coaster ride, increase the strength you hold for a long time, and avoid being harvested by Wall Street.
I've written so much, so everyone is welcome to exchange and discuss. I hope we can improve this strategy together. Currently, this strategy does not cover any options-related operations. I myself am new to options, and I haven't figured out how to integrate it yet.
If you enjoyed this article, you might as well leave one 👍🏻 Thank you all for your support.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
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本人散户，闲钱投资，名字为富图系统生成。这里记录投资感悟与趣事。所有言论都纯属娱乐，不是投资建议。㊗️大家越来越🐮
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Silverbat : It's rare to publish the painstakingly researched “Dafa” to the world with so much merit
Cherry Cat : Hahaha... the humorous and witty analogy simply cannot but be praised
JonjonL : Thanks for sharing. Can you also share how to “select a few high-quality stocks from a left-handed account, then just wait for an opportunity to go all in!” How do we know when that time is?
Shuseido : Nice post!
高贵的阿德莱德OP JonjonL: Your question is very good. You can't just fight left and right; you also need to be able to do at least two other martial arts to use left and right to fight each other. What you choose varies from person to person, but there must be an essential difference between the two martial arts you choose for left-right combat
ENXS : Apple NV was also a high quality stock a few years ago, so it's difficult to continue trading sideways. It's still the right time, the choice of opportunity is greater than everything
壁画 Cherry Cat: Are you sorry for yourself if you don't like it?
mubbiiee : I have a friend who is more fancy than you. It's basically mirroring your strategy in reverse and doing it again. Plus the calendar time mismatched options, so the complexity is almost four times yours. I've analyzed these strategies, assuming you can guess the rise and fall of each band, hehe. I can't do it anyway. I can only wish you all a great time.
高贵的阿德莱德OP mubbiiee: Other people's strategies may not work for you. What suits you and can make money is a good strategy
mubbiiee 高贵的阿德莱德OP: Yes, thanks for sharing, and I really hope you can analyze the results of this strategy after a while.
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