What you say is basically true, the greater the original investment, along with an additional 10% investment, the greater the average share price reduction.

$100 + 10 = 110 / 200 = $.55 or 55% of $1.00

$200 + 20 = 220 / 300 = $.73 or 36% of $2.00

$300 + 30 = 330 / 400 = $.825 or 27.5% of $3.00

$400 + 40 = 440 / 500 = $.88 or 22% of $4.00

The real problem is that many have been chasing this since $24.50 or $15.00 or $10.00 or $8.00 or $6.00 or $4.00 or $2.00 and so on.

So it’s easy to use the numbers if the investment is minimal, $10k or less, but not so easy if the total is $50k or $150k, etc.

``When you state, breaking even is possible`` what number are we basing that on? Those already using that scenario have averaged down many times hoping to reach that future breakeven point.

One other problem is that one could chase this all the way to a penny, hoping to achieve the breakeven point, but looking at compounding the potential future losses.

It’s like any gamble, you throw only so much at the wall, and then you quit and wait or sell and quit. I happen to believe that most are waiting. They are not willing to average down to the extent that you suggest, depending on their invested dollars.