Market Wizards consists of interviews with people who don't write books, with the exceptions of interviewees William J. O'Neill of Investors' Business Daily and Trader Vic Sperandeo, both of whom have pretty decent records as investors and traders. One interviewee is George Soros' protege, Stanley Druckenmiller. Another is Gil Blake who guaranteed people who invested with him that he would return a minimum of 20% per year and as far as I know hasn't failed to deliver in over 10 years. The other wizards, or most of them, have done better than anyone on this thread can ever hope to match. But if you aren't interested in what they have to say, there's that old expression about, how does it go?, throwing pinkies before wart hogs or something like that?
And as to averaging down, seems to me that quite a few people who frequent this thread mentioned averaging down around $2, then around $1.75. $1.50 and so forth. Don't think it worked for them. After all, they could have gotten the stock at 69 cents, wasn't it? I could see averaging down working for Dogs of the Dow stocks, where there's little chance that a co. like AT&T will go out of business and a big chance that they will eventually rebound - hence the success of the Dow Dog theory. But as far as a specultive stock like WSP is concerned, caveat emptor.
Perhaps the question you should ask yourself is what happens to my average down money if there is no pipe under Snap Lake? |
