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Biotech / Medical : Geron Corp.
GERN 1.200+2.6%3:59 PM EST

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To: Savant who wrote (2714)9/28/2003 1:27:29 PM
From: Allan Harris   of 3576
 
My core position already sports a very low single digit basis. I've added to it gingerly in the past following this recipe:

(1) News spikes GERN up 25-50-75-100%.
(2) Hangover brings it back down from spike 25-50-75-100%.
(3) Buy when hangover ends, or seems to end and wait for next news spike.
(4) Rinse and repeat.

Over the next few years, GERN should generate a regular stream of news-related spikes, much like we had last week. Although some will retrace 100%, I think most will retain 50% of the spike for a level from which the next news related spike takes off. Using the above recipe, I will be averaging up all along the way. My question yesterday was whether it might be best to throw it all on the table now, and not play footsy, since it's impossible to know when the next news related spike is the big one.

A
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