I am new here. Jumped into CFD without any research. Bought Tesla @538 oon the 1st Sep and lost over 2k in the next three days. But now I am doing some research and realized that Tesla never actually crossed above 502 USD. Then How did I end up paying 538? Any thoughts please. Thank you
Thanks for your quick reply. I appreciate it. I know I messed up because the minute I invested, the price started to fall. It appeared that the app was luring me to invest So I went on. But learned a lot in the last four days. For the first time yesterday, got 100 pounds back . Hope it will be this way in future.
When it comes to the graph you shared, you are right I can find it in CFD account. But when I tried Google stock price or even ‘Invest mode’ in the Trading 212, it was always 502. Posted the graph below. Simply asking, Who is responsible for taking the price to 538 in CFD? Is it kind of normal? Because had I invested at 502, then obviously I would have lost less. Thanks mate for your kind reply.
I’d have been delighted. I averaged down from 520. My portfolio isn’t looking the best either.
I reckon with patience and enough capital, people like @Rama and myself will be fine. Although my averaging down was intentional. Rama must have gotten a shock to the system.
Thanks guys. But the fact was that, as I said, it was my first ever investment. Didn’t know anything to the fact that I didn’t know the difference between buy and sell in CFD nor I knew the difference between CFD and Invest. I know I am the dumbest probably in this group. I have been following news that Tesla share is going up and up over the months and just jumped in CFD as this is the first option Trading 212 gives. I was actually thinking that I was buying shares. Had I knew that CFD is meant for day trading and I could actually choose to sell when the price is high, then I would have been lucky today But a lot of learning in the last 3 days with 2k loss. Hope I will be able to make up my loss in the next days.
The RSI was so heavily over bought anything over 70 is usually a SELL signal and it was about 85 on the hourly chart. You can see the vwap was about 480 so it had pretty much left the planet.
Had you hit the SELL button and rode it down to 380 you would be minted.
Everyone makes mistakes so don’t beat yourself up about it. Also don’t try and think I’ll win in back with my next. You need to have a clear plan entry and exit, don’t trade with emotions.
For now I would stick to the ISA and going long. Then use the CFD practice mode for a few months with the same funds you have in real life. Once you’ve nuked your account a few times then play for real.
If it makes you feel better, I had a few back to back losses a few months ago and lost 2k.
I changed my strategy and gained the 2k back in a month.
As already said, don’t chase and try make the loss back by trading with emotions. Do some reading and see this as a lesson learned. You’ll slowly but surely get your money back.
These are valid and strong points you both shared. I have been actually and carefully noting down the lessons for future investing. I think it is also psychological. Yesterday it was going up and I clicked sell when it was 380 and then it went to 426 - the bloodbath continued. The position is still open as they closed early last night. Had Tesla was included in SP 500, then by now it would have gone past 450 during the extend hours. But fortunately, it came down to 390. The first thing i will do when it resumes (I understood that Monday is a holiday in the USA. Does it mean we can’t trade Tesla in the UK? could you please clarify, thank you) on the next day is to pull my money back and then think what to do carefully. I will follow your suggestions and draw a clear plan. Most importantly never chase and always chose stop loss option. Then wait for my time. Its always better to have the money in the account than investing in the wrong time and worrying about it. It is also a lot of stressful. But lessons learnt and hopefully will calm down and play safe.
Is there any warning for newbies opening the CFD section for the first time? I can’t remember, it’s been ages since I signed up.
Anyway treat that $2k as an expensive training course that is if you already sold. If you didn’t sell, it might go back up when the market opens on Tuesday. Will probably take a while for it to get to $538 though.
Hey, I sold them when it was around 450 and then as mentioned above, this time chose sell option when the price was low - 380 . This time I knew what I was doing. But psychologically I think my mind was trapped and also was not ready to buy anymore. So I chose to still sell when the price was low hoping it would come further down. But I will be super careful now onwards and be on the top. As you said, it was an expensive learning experiment.
If I was forced to do CFD bet, I would probably go opposite of what I think, as usually I was always wrong. Thus I just gave up and admit I suck in trading