TO THE THREAD IN GENERAL:
All of us are making a fatal mistake re the stock market: trying to figure out WHY the stock responded one way when all indicators point another way. The stock market is not rational, despite the fact that you, or anyone, are in it. (I hesitate to dispel another myth, but you are not the center of the universe, either.)
I earned an MBA from a top school, and $30K in tuition later the most valuable thing I learned was during an Organizational Behavior and Administration class, and from a hussy of a professor, to boot: "Life isn't fair, and the sooner you accept this, the better off you will be." Ditto the stock market.
Now,what happened to KLIC happened to any number of stocks last week, notably one I follow and own: AFCI (Advanced Fiber). I listened to the CC last week, and all I can say is "Katy Bar the Door." They are on a roll, and come the December quarter they'll be ramping up their SBC contract. Honestly, the CC was almost giddy, with everyone of the analysts who asked questions practically foaming out of their mouths with platitudes and congratulations (I also listed to SUNW CC, and AFCI's was only a tad less exuberant). So what did the stock do? Fell 20%, much like KLIC. It's painful for me, but there is only one condition that will satisfy: buy a promising stock for the long term; then short term irrationality is a non-issue.
I bet you that if investors were required to hold a stock for one full year, these message boards would dry up like Plaster of Paris in the desert. The post I'm responding to keeps talking about "this past week." I'm not trying to flame anyone, but since when did one week make or break any stock? it's ridiculous.
Now, if one's purpose for posting on these message boards is for camraderie, to discuss subjects, to compare/contrast strategies, etc., GREAT!!! it's a worthwhile effort. But, if you're on here because you trade in and out of these stocks daily/weekly/monthly, you deserve the ulcer you're cultivating by trying to "understand" an irrational(and unfair, and manipulated, and possibly corrupt) system.
Sorry if I offend, I just needed to get this off my chest after reading about 25 whiny posts. I do think most of this thread is sincere and cares about KLIC. I just think many of you are neglecting the obvious (buy and hold, at least during the cycle)and falling into "the trap," the frustration and bitterness that comes from only being able to react to the market, as opposed to being able to control it or influence it. |
