Quote Originally Posted by Gandalf4301 View Post
Trading around a position when you find a stock that has a pattern if moving 10% to 15% range, buy a few hundred shares when it approaches the bottom of its range, then sell 50% of your purchase as it approaches the top, then when it goes back toward the bottom again, as it will, rebuy and repeat. Can make your over all return very healthy over time. Also look for "best of breed stocks that pay a nice dividend (4% or so, with a history of raising the dividend, reinvest dividends in that stock, over time, compounding will really pay off.
I like the above approach. A little spin on it would be to use the earnings multiple rather than the share price as a buy/sell target. With higher future earnings, many past stock prices might never be revisited. Sometimes a stock appears expensive but it is actually cheap when factoring in the current or future earnings.