I would like some formulae to simulate what would happen with the long-term accumulated earnings or losses with a volatile stock if I say I want my worth of shares at each point in time to stay constant at e.g. $10,000 plus/minus some suitable percentage, while the share price is going up and down.
Thus whenever the share rises above +x% I must sell off some, and when it falls below -y% I must buy some more, to make the total value stay roughly constant.
Including commission fees and capital gain tax, of course.
I guess this is similar to what S&P 500 uses to keep each stock at a roughly constant percentage, but I want a roughly constant value.
Surely, such calculations already exist, although I couldn't find them. To be honest, I think I should expect it to be better to just leave all the shares untouched for ten years or so.


Thanks in advance!