HI RFH, Since you've started the JBL account with a full load of Cash Reserve, you can use any of the three choices!
With #3, you would first "Pull a vealie", however. At $47-1/2 you still have plenty of cash, so you'd take that minimum order that AIM advised ($713), divide it by 2 ($356) and add the 356 to your Portfolio Control. You are letting the "vealie" become your "Sell Resistance" in essence.
This should be enough to eliminate the SELL of 15 shares and will incrementally raise the next buy and sell points just a bit. Then, if next week you have a similar situation, another vealie can be performed. You'd continue this until the cash reserve has dropped to 10% under what the Idiot Wave recommends. Then make your first Sell in earnest.
When I get to the point that I'm fully funded in Cash Reserve, I only keep the GTC Buy orders in place - not the Sell orders. Then when the cash has been diluted by the rise in the equity value and I need to sell, I place that GTC Sell order.
If the stock turns down before I actually sell, I have plenty of cash and the problem goes away as I use it up buying shares at a nice discount. In either case, the cash is reduced as a percent of the total value which eventually lets us start selling again.
Best regards, Tom |
