How Much Room Are You Ready to Lose on a Stock?

Enron stock has been in a nice uptrend for years, but now the 40-week moving average line is starting to turn. We've also got that 50-day moving average line, or the 10-week movingAverage line, now below the 40- week moving average line. So this is telling you, okay? You've gone from 80, and you've gone now down to 44. This is where your risk management rules really have to come into play. If you bought this recently, then you definitely have to be taking action because you are losing your capital.