003: Cesar Alvarez on trading ideas, backtesting, stops and market timing
Better System Trader
00:00
Qualified Trading
If a stock does gap down 50 % or a percentage that's outside of its om normal behavior, do you continue holding it until you get a proper exit? A, haha, om, yes. The reason i pause is it is psychologically insanely hard to hold those. But on average, it pays to hold them. Will hold for that balance. Sometimes you know why it would be better just to get out that day, but you play the odds. Qualified trading is not about being knowing for sure. It's knowing, well, if i do this enough times, this, my edge will show up.
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