Al, I never take your comments as anything other than friendly banter between investors so don't give that a second thought.
If you were to print out all of your NXTL posts over the last several months and read them at one sitting you would discover a very interesting thing. Namely, you always have an excuse why you should or shouldn't own NXTL. The company in question isn't the issue; your emotional investment style is. Most serious investors have a style which centers around a defined investment plan. I consider you a serious investor so I assume that you fit into this category. The primary difference between wildly successful, moderately successful, and not successful serious investors is one simple, but difficult to follow, principle: Wildly successful investors have better control over their emotions and seldom let them get in the way of following THE PLAN. No one fully gains control over their emotions but the extent of one's success in that area will be directly related to that success.
Noise, which is defined as the day-to-day oops-e-doddle insignificant price swings, happens for reasons unrelated to the trend of a stock. Wise investors ignore noise. That's where chart patterns, support & resistance, cup & handle formations, etc. are invaluable in keeping emotions in check.
As you read this you're probably thinking, "Who does this guy think he is? I've made a ton of money in the markets." Maybe so but imagine how much more you could have made if you had better control over your emotions.
Arnie |
