>>Averaging down is now against my religion <ggg> but in this case, it's a clear opportunity to grab some very inexpensive shares.<<
Mike, I like your comment on averaging down. I don't like to do that as a rule of thumb either. However, when I feel that a company is solid, and has established relationships with leaders (idealab!), I see that a price decrease as an opportunity to buy more.
I did this with Bid.Com! My first purchase was @ $5.95. I was $0.05 away from the high. It subsequently dropped down to $2.30. After spending a considerable amount more time researching this company, I began to buy, then buy more! I dropped my average down. When the stock began to move up, I also kept buying more.
In retrospect, my decision to continually invest in that company (when the price was both dropping and rising) was a wise one.
There were just too many promises made in the AGM presentation for this company to sit still and not get active. I believe that they have a plan that will make the investment community sit up and take notice. I have taken notice, and I have decided to continue to buy more shares at these prices.
But remember that I'm just a . . .
Crazy Canuk
P.S. I just made my purchase, typed up this post, and went back to check the stock. Boy, it sure looks like some stops got hit. Wheeew! No one ever said that this game wouldn't be interesting! <ggg> |
