One Question Interview with Charles Kirk

August 9th, 2006

Another One Question Interview, this time from Charles Kirk of The Kirk Report. Charles always provides insightful market commentary and gives a peak into what he’s trading. His results speak for themselves. Look for a full interview with Charles here in the fall. Here’s Charles’ answer to the first one question interview. Reminder: feel free to submit your own answer and I’ll post it, too!

What trading lesson(s) have you learned from the downtrend that started in May?

Charles:

Stick to your guns in the face of adversity. Hindsight is always 20/20, but we had some many indicators flashing a “sell” signal back then that you had to take notice of even in the face of rising prices. If you can recall, at the time everyone was so focused on the “there’s a bull market somewhere” mentality, especially within the energy and precious metals groups, that the likelihood we’d experience a correction even in those hot sectors was much higher than normal. Whenever any sector is perceived by the majority to have little to zero downside risk, it is time to take the other side of the trade, even within a long-term bull market cycle.

2 Comments

  1. Dave McClary Said,

    August 9, 2006 @ 9:36 pm

    I learned that the easy pickings in the NASDAQ tech stocks are gone, gone, gone and it will be some time before they return!
    Traded a small IRA from $10K to $100K but I’m bailing out!
    And I don’t see much potential on the big Board either.
    The West Coast Trader

  2. Bill Stark Said,

    August 14, 2006 @ 8:27 am

    Unfortunately I have followed Charly Kirk over the last 7 years and speaking of his `´real´´ track record and not the one that is published on the site his opinion counts at best for good contrary entries. Knowing his account at TS I would be very careful in promoting his name and performance.

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