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Strategies & Market Trends : Value Investing

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To: jeffbas who wrote (11304)10/17/2000 6:00:02 PM
From: Paul Senior  Read Replies (2) of 78614
 
Jeffrey, that there are decisive drops in so many stocks, this I find to be disheartening and frightening.

It is painful to see companies report good earnings now, only to see their stocks drop. (Like SEMI.) And the ones that report lower earnings - they seem to get killed even if they were killed once earlier if they preannounced. People believe regardless of what's happening now, good news isn't going to be in the future. Adding it up.... I call it a bear market too - with no end in sight.

But that is no reason for value investors to sell out now or remain transfixed like a deer in headlights. I'm with rjm. About now should be the time to lower one's cost basis in some of these stocks or pick up new bargains.

One must play the odds (based on our stock market's short history) and screw up one's courage and buy these value stocks while they are down. And then hold on as best one can for the upturn that, in the past, has inevitably followed.

jmo.

Paul,
who knows that Jeffrey Bash knows all this quite well, but who feels better by posting this anyway.
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