RE: Investing

From: gts (gts_2000@yahoo.com)
Date: Sun Jun 15 2003 - 22:29:51 MDT

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    Olga Bourlin wrote:

    > So, you advice to me would have been not to use a stop to get
    > out of CREE Friday, so that rather than losing @$50 on my 300
    > shares, I should have held on to CREE and lost $1,233 by the
    > end of the day (and who knows what Monday may bring)?

    Yeah, assuming your numbers are right then you would be hating me right now
    for my advice.

    However on average the many hundreds of clients I served over the years
    would have loved me for providing similar advice. In general it is foolish
    to sell automatically just because of a drop in price. More often than not,
    it is a good opportunity to buy.

    For example I was there riding the saddle on "Black Monday", October 19,
    1987, when the market dropped something like 12% in one day. People who got
    stopped out on that day now look like idiots. And the truth is that they
    really were idiots. Anyone who deviates from the buy and hold strategy is
    living in a pipe dream.

    -gts



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