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Strategies & Market Trends : Investor's Business Daily

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To: Digitom who wrote (38)8/14/2000 12:12:01 PM
From: -Mad-Jon  Read Replies (1) of 164
 
Digitom - wasn't that an exceptional circumstance - one of those market spankings that come out of the blue from time to time? That's part of the risk, chart or no chart, IMO.

When these things happen, stops or no stops, 8% downside protection is a nice goal, but unattainable in my experience with these kinds of events. On this kind of news, I'd cancel my stop and sell into the first bounce, which might recover a part of the initial loss.

Every once in a while, they drop a bomb on you . . .

A company like CSCO, OTOH, is not likely to do that to you - thus its huge multiple.

Regards,
Jon
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