SEE IF THIS LOOKS FAMILIAR? FOR ANY OF YOU THAT TAKE THIS GUY
SERIOUSLY. HE SHOULD TRY TO BE MORE ORIGINAL. THE PAGES IN THE
PLAY BOOK STICK AT TIMES. THIS IS FROM THE MAY WCII THREAD.
To: +Paul Ferguson (1242 )
From: +Robet Butkus
May 17 1997 9:33AM EST
Reply #1243 of 2231
Stocks are like inventory, and all inventory is purchased to be sold.
You make a stock purchase hoping to sell it to someone else at a higher level, there by making a profit.
The only question is when to sell. One thing is VERY important in the market.."Capitol
Preservation"
With out this, one cannot purchase additional inventory.never forget this.
Buying a stock is the easy part, when to sell is critical. Most people are terrible at the
selling part, for they let their
losses get out of control, and sell the winners to early.
One can always sell for a small loss, and reenter at a different level, when the "story"
changes.
Making a case for a stock that has lost 100% or more of its value is not something I
am going to do.
I will trade this company and take my profits as the market gives them to me. Better
that way, since management still receives a pay check no matter what price WCII is
selling for.
Somehow I like pay checks as well.
One other comment about managment..I have never seen any management think there
stock is overvalued..so take it for what it is worth.
I am truely always cautious about what any management tells you, based on that fact
alone.
Better to be toungue in cheek, than a believer at any cost.
I own WCII in the 10s, and will sell as soon as its uptrend is broken, by any event,
company related or not.
WCII may have a great future, but its stock price is, and will always be, just
perception. This is no different than any other stock out there.
Remember you have to sell it to some other "fool" later, for that is the game we all play.
The cost of holding inventory..ie ..lack of use of funds for other purposes, inflation
etc....is costly. |
