One of the questions that we all have is when is the right time to buy. Many times as soon as we buy the market starts going down and as soon as we sell the market starts going up. This happened to me with SNS today. I exited out of SNS at the very low of the day and I have bought few stocks at the very high tick too.
When the market is uptrending, it makes sense to buy at the previous 52-week high after it has made a new high. The previous 52-week high should have been made about 3 months ago.
If you look at the weekly chart of SMSI, it made a new 52-week high on the last week of Mayand closed above $8.5. The previous 52-week high was made in the 3rd week of September and was $8.5, so in this case the ideal time to buy is at $8.5.
SNS made a new high in the 3rd week of April and it closed above $10.5. The previosu high was $9.8 and was on the 3rd week of September. I should have waited for the price to come to $9.8 instead of buying at 10.4....I exited out of this position today because I was disappointed at myself for not following my own rules.
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