Chinmoy, You have cause and effect mixed up. Record money pours into stocks because they are going up, not the other way around. The first serious downturn and all the buy on dips dips will be dead meat. Also, the money coming in is nothing compared to the bulk of paper wealth in stocks. It only matters as long as nobody ever wants to realize their wealth, and that is when they discover it is not real if too many try at the same time.
I made decent money in HWP puts, but not big bucks. I have made big bucks on Atmel for the past two years, as it continues to fall apart and the fish still bite at the bait. A great trading sardine. You have to remember that with a put strategy, I lose 100 pct. when I lose and I make several 100 pct. when I win. Atmels many trips from the 40s to the 20s have made it one of my all-time best winners, despite the fact that isn't that huge a move compared to an ISSI going from $73 to $8. I will probably lose money on the 1/3 position in Amat. I have yet to buy a second third in deference to the herd stampeding into it. I have made a bit on MU and MUEI in the past few months, but nothing huge. I will be there if the herd ever gets smart and not lose much if they continue to prove themselves dumber than dumb and dumber. And it is just a matter of time before reality rears its ugly head and the tech stocks die. Again. The huge profits on the memory chip stocks, especially the SRAM turkeys, on the graphics chip fluff cos., on the pc retailers, on the components cos., on the networking scam cos., etc. make it easy to sit through a round or two of a bubble waiting for the next mega winners.
True, a lot of people buy into the greater fool theory at manic tops. I just don't feel that comfortable in the company of the Mortimer Snerd types. -g- MB |
