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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Larry S. who wrote (39975)3/4/2001 3:06:16 PM
From: Seeker of Truth  Read Replies (1) of 54805
 
Though I won't take your advice, which is to dump gorillas and buy some other things that you kindly mention. I won't oppose your opinions. Just two small quibbles.
1. Money can't flow out of an area since for every seller there is a buyer. When a sector collapses all the holders lose, because the stocks go down, not because of some net outflow of money.
2. If we see "a much more serious downturn" the high yield bonds won't have such good results because some of the bond payers will default. if the downturn is quite short turn then IMHO the rebound in the gorillas will quite exceed the nice return on high yield bonds, electric generation stocks etc.
Maybe I'm just jealous; I've never had much luck with rosy short term prognosis stocks. It usually turned out that I paid too much for the prognosis, the stock price already included that.
Good luck with your strategy.
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