March has been a horrendous month for many stocks. I've been scaling in on some of the stocks on my watch list. Unfortunately, most of the stocks continue to sink lower. In March 2020, I reacted by buying more and buying faster. This time, I am slowing down my buying, hence my restriction for using "BUY" button.
First, I am assuming that stock prices will go lower. So if buy executes today, and the stock falls further, I do not buy more.
Second, I put day buy limit orders below the current price, requiring the stock to fall before it is purchased.
Third, I put GTC buy limit orders significantly below the current price, as much as 10-20%. That way I make the future purchase at a significant discount to today's price.
With 0% commission trading, I can afford to scale in as little as one share at a time. That way I can increase exposure at low risk, in case the market continues to fall.
This is not financial nor investing advice. Please consult a professional advisor.
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