Certain behaviors give away inexperienced investors in much the same way a poker player gives off tells. For example, we’ll often hear readers talk about how a certain price point is “a great buy” for a particular stock. Trying to call the bottom for any given stock is pointless. A February 14th article on Seeking Alpha talked about an “attractive valuation” for Palantir (PLTR). That Valentine’s Day recommendation didn’t show much love to investors as PLTR sold off sharply when the company reported earnings, followed by a massive dump by ARK Invest. Whoever wrote the following Seeking Alpha article must be chowing down on a healthy plate of crow right now.
Credit: Seeking Alpha
Pundits on Seeking Alpha and other platforms often give Foolish advice in the form of clickbait articles that focus on short-term speculation. It’s a surefire way to erode your wealth.
Avoiding Red Flags
Another mistake investors make is paying too much attention to the rollercoaster trading activity of active fund managers like ARK Invest. Imagine commanding tens of billions of dollars in capital and trying to decide what trading decisions to make in the face of extreme criticism. Many of the factors relating to ARK’s decision-making process are opaque, though they do share with investors some of the reasons for their trades. For example, their
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