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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Thomas Mercer-Hursh who wrote (46164)9/4/2001 12:09:43 AM
From: Stock Farmer  Read Replies (2) of 54805
 
Thomas: Your reference to day after quarterbacking is puzzling.

If a stock is overvalued then selling it gives higher returns than holding on through.

If it is not overvalued then selling it gives lower returns than holding on through.

You determine whether it is overvalued or not.

So it is merely whether or not you are correct in your valuation determines profit. I personally think that it doesn't need to be a precise science. I have seen in just about every case of a "run up" that being within factor two is good enough.

And yes, this is tricky. But not impossible.

John.
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