SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : A.I.M Users Group Bulletin Board
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Larry Grzemkowski who wrote (8044)7/31/1999 10:40:00 AM
From: JZGalt   of 18928
 
Larry,

This is where I run into problems with AIM, because I'm not that familiar with the mathematics of how do do anything but plain vanilla AIM'ing that came with the spreadsheet given to me. The "what if's" confuse me sometimes.

What I would suggest is this:

When AIM creates a sell recommendation under the "fair value" level, you use this as a mental stop loss order and allow AIM to calculate a new sell and buy levels as if the sell order had been made.

If AIM then suggests another sell under "fair value" at a later point in time, convert the first sell recommendation into a Vealie and recalculate the numbers used in the second sell recommendation as a new mental stop loss number. Continue to do this until the sales are above "fair value", then continue as normal. This should allow you to keep the large number of cheap shares for a good ride into the upper teens while the stop loss mechanism will allow you to sell if we don't get there in a straight line.

(By mental stop loss, I mean if the stock closes below the value, then execute a market order the next day for the number of shares suggested.)

I know this is messy, and only a theory.

If you want to be "automatic" then I would suggest you adjust the portfolio control so that the first sale is at the "fair value" level and continue normally from there, except you ignore all buys before you get a sell. Essentially by opting to do this, you are saying that you ar Mr. Buy and Hold below this level, then AIM'ing above the "fair value" level.

----
Dave
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News