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Politics : Formerly About Applied Materials
AMAT 322.31-5.6%Jan 30 3:59 PM EST

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To: michael97123 who wrote (37506)9/27/2000 12:29:22 PM
From: Jacob Snyder  Read Replies (1) of 70976
 
re: a signal that the bottom is near is when folks such as you begin to question the long term value of their holdings after a 50% haircut.

Maybe, maybe not. If we are going to have a 80% haircut (an example, not a prediction, please no flames), then a trader should get out now, and wait for the bottom.

A true LTB&H investor should just ignore the year-to-year volatility, and count on the share price appreciating in proportion to the EPS growth. Having posted and lurked on this thread since 1997, I think the only real LTB&Her is Lester. The rest of us are traders (including me), trying to time the tops and bottoms.

From what I've seen on privious downturns, the Bulls only begin to think about bailing at 50% down. Remember, 30% declines are just normal volatility, and can happen repeatedly during the upcycle. Lots of hope still out there. Lots of disbelief and Denial still out there. Lots of people still fighting the market.
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