Buying Bargains, Buying low, there is no other way. Selling only after reaching 52 week highs and then a premium for growth, that is the way to bring the money home. These past few months, I am BUYING BUYING BUYING, this is the way to become and remain super wealthy. I am buying PALM and NTAP not because they are down the past few months but because they are BARGAINS, their low price with their future earnings growth prospects means that they will reach their 52 week highs, this is been done at each major correction, the asian contagion, the 80s credit crunch, at each earnings recession you buy good companies with great products, great earnings potentials, (no dot com bombs with no earnings no products or no business plan and no management) you hold the good companies, like NTAP and PALM and you make more money than daytrading or storing your money in slow moving dinosaurs. For example, if PALM goes from what is it today, 3.80 to 67, that's 17-18 times your money, or NTAP at 12 going back to 152, thats 12-13 times your money. Very few great tech stocks have that kind of price SPREAD. That's an average of 15 times your money. Take $100,000, that's $1.5 Million. That is why I buy, if that means being a few penneys underwater during the wait of 3, 6, 9 months or so who cares. I would never try this approach with any company with no proven track record. Warren Buffett does the same thing with Coca Cola and McDonalds, but more conservatively, he BUYS LOW and SELLS HIGHER. Same approach for me, only magnified 15 fold with tech future growth companies, more exciting too, the return on investments have always been for me, not IF but WHEN.
I am,
Truly your$,
-Crystal Ball |
