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Strategies & Market Trends : Point and Figure Charting

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To: chartseer who wrote (5909)8/15/1998 3:48:00 PM
From: Mr. BSL  Read Replies (2) of 34810
 
Hi chartseer. A good chartist should always be able to run circles around the best mutual fund managers. .
You are of course correct. However, with a small portfolio (~20 stocks), the individual investor is taking tremendous single stock risk. The question becomes, how much return over the market averages is sufficient compensation for this risk? In a Bull confirmed market, I like my chances with mostly sector mutual funds and a few stocks. When the market is in transition - say reversals in the HILO & 10WEEK with the 30WEEK and OPTI still negative, I find that chasing individual stocks up (with close stops) is fun and profitable. However, IMHO in a bull confirmed market we need to milk out all the profit the market will give us without getting CA'd! Looking forward to the day I can take off my mutual fund training wheels.

Take care and have a great weekend.

duke60
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