I have a short but true story to tell about the OTCBB crash and burn of 2000. Some of you may have heard it before, or the same thing may have happened to you.
It was the middle of March last year, things has slowed down, but the euphoria was still present everywhere. Then this friend of mine starts harping on me about selling everything and going to ALL cash. Well, that seemed like about the dumbest thing I had ever heard. Then it became a routine, at least twice a day he would ask "what did you sell today"? Every day for about 5 days the same thing over and over. It finally started sinking in that maybe he knew more than I did. Stocks that I was holding were in fact going down, and I was of course, averaging down.
I decided I had enough of his constant bitching and sold almost everything on the same day. Within a week, had I held, I would have been down about 20%, and much more than that week after week.
There were many of us who made a large pile from November 1999, through March of 2000, but as it turned out, I only gave back about a very small percentage of the gains I had made. Oh, we made money before that, good money at times, but nothing has ever rivaled those times.
I would once again like to publicly thank the gentleman who so ruthlessly beat me over the head day after day to sell. No one else that I was talking to had a clue that the crash was coming that quickly. Wayne Rumball, I will be forever in your debt, and I am proud to call you my friend. |
