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Strategies & Market Trends : Bosco & Crossy's stock picks,talk area

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To: Crossy who wrote (12144)9/7/2005 4:06:13 PM
From: badog  Read Replies (1) of 37387
 
Crossy,

Regarding 'selling the winners too soon and letting the losers run':

Many would then assume that ALY currently should be sold as they jumped in between $11-$12 and ALY now seems to be stuck in the $10 range since shortly after the secondary.

Quite honestly, I doubt that this is what you meant because I also assume that you normally base your buys and sells more on future outlook and potential and not on short term price fluctuations. And with a stock like ALY, it has not had much time yet to run out its current plan...at least not much time since you first mentioned it. Once one gets into an investment it seems logical to at least give it time to perform. Then if management consistantly falls short of prior guidance it may be time to exit...i.e. TMY had dissapointed many investors enough times to cause even some long term holders to reconsider their investment yet had they held on it would be looking better currently.

The problem that most of us encounter is just how long we anticipate sitting on dead money...or underwater. Again, ALY has not mentioned any bad news. A little dilution, but not significant. It certainly seems to me that ALY has more potential to go up then it does to go down further.... increased business after Katrina, extra income from the new equipment, and I read that Halliburton was raising it rates in oil services next month. I'm not sure that there is a correlation between Halliburton's oil services and ALY's oil services but I intend to check. Anyway it would seem that ALY has more reasons to go up then it does to go down so I hope that most will not sell just because they are temporarially under water and now consider ALY a loser.

Badog
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