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Microcap & Penny Stocks : Plasma Therm (PTIS)

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To: Pullin-GS who wrote (356)8/7/1997 5:48:00 PM
From: JM   of 377
 
Paul:

Not knocking your system. However, I'm not convinced trading is best choice unless the investor is able to take advantage of economies of scale on brokerage fees (ie buy bigger blocks of stock). IMO the risk of being out of a stock when you should be in is greater than the $320 net profit(20%cap gain,$100 broker fees) one would make by buying 1000 shares at 8 and selling at 8.5. Also I do not believe anyone can accurately predict the movement of a stock over a long period of time.

Say we sell at 8.5 and the stock moves to 10 over the next week. By selling, we made 320 but lost out on larger potential gain. Of course my example can work in reverse, we sell at 8.5 and the price goes to 6.5. I guess I lean more toward long term horizons. Buy and hold along with fundamental analysis, and earnings growth. Using a little TA to time entry. PTIS also looks good on these fronts, making the stock appealing to both trader and investor.

FWIW
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