Bear...Here are some additional posts "FOR the record"....
Please don't be a "Ken Starr" and present only info that reinforces your biases..
Now again I have no position in SATH and do not wish to further clutter this thread with
off topic chatter.....PM me if you must with any additional correspondences regarding
these issues
I intended the last post of SATH to be my last....but felt the need to present
the full record.....to clarify the misconceptions you are trying to portray.
Trading info by ztect on DBCC
Message 7250488
Actually this was a little inaccurate...I had a buy order in at 5-7/8...though I didn't
buy in until 7 1/4 (I make a lot of trades so I got the limit order confused with my actual buy)
Above was intended as quick illustration to debunk Tony's assertions...
Message 6470951
Wednesday, Nov 18 1998 5:13PM ET
To: Malko (76 )
From: ztect
Malko:
Since I don't publicly make suggestions on stock I don't own yet, I hope you took advantage of my PM to take a look at DBCC
I thought it was going to sag a little , so I put my limit order at
5 3/4 ... I was out today and scrambled to get in at 7 1/4.
Message 7250930
Please note I am not telling people to buy at 35 to 40. I am telling them to consider buying after the panic emotional sell off possibly occurs that yourself and others are trying to inspire to cover your short positions.
Thus I agree with you that there will most likely be a pre-IPO sell-off. However I disagree with you that the MKTW IPO won't fly.
Message 7227416
Monday, Jan 11 1999 10:23PM ET
Always other good opportunities.....
Will myself see how this gaps ..... then react accordingly with part of position...
If nice gap...
Will try to sell some at betw 43 to 45, and then fifty....then hold the rest with a stop order at 35....
PLEASE ALSO NOTE
Message 7203329
Patric: Very good advice and an intelligent strategy
In response to...
Message 7203200
Sharon--
Another strategy to consider would be to take your initial investment off the table when it hits your first target, so that your remaining shares have essentially cost you nothing. Then you can be more comfortable holding onto those remaining shares until they reach a more aggressive target. If they do not reach that target, you are still guaranteed to be in the money.
Example:
You bought, say, 1000 shares @ 17.32, for an investment of $17,320. When the stock hits your first target of 32, you sell 550 shares, taking out your initial investment of $17,320 plus some change. You still have 450 shares which you can hold onto until they reach 35, 40, 50, or whatever target price you think feasible, or until you identify a stock that looks to be at the beginning of its run-up (like maybe NAVR closer to the IPO date).
Finally I posted this article on DBCC thread, but can not now find it...so here it
is again for people invested in SATH to keep in mind.....
When To Sell That Great Internet Stock?
Source:
INTERNET STOCK NEWS™
internetstocknews.com
The Premiere Internet Industry Communication Vehicle
January 12, 1999
When To Sell That Great Internet Stock?
By ISN Analyst, Ted Kunzog
Knowing that stocks over an investor's lifetime are likely to return only
10-12% per year on average, an investor should be very cautious about
their
"hot" Internet stock that recently doubled, tripled or perhaps more. With
that kind of behavior, the next move may be in half, rather than double.
So, how and when to sell?
First off, selling all of the stock is frequently a mistake. Yes, it may
have been the exact top, but it probably was not. If the stock continued to
gain again after it was sold, the investor often is consumed with mental
agony. To be a successful investor, care of one's psyche is often just as
important as picking the right stocks.
To decide when to sell, then, investors may wish to consider either
selling just enough to get their original investment back, or using Stop Orders
(sometimes called Stop-loss Orders).
The first strategy is rather simple. Assume an investor bought 1,000
shares of Hotstock.com for $5 per share (or $5,000.00) and it is now selling for
$20 per share (or $20,000). The investor would simply sell 250 shares at
$20 per share to get the original $5,000 stake back, leaving the investor
with 750 shares left. This is called "using the house's money." A
modification, of course, is to sell more than enough to return the original
investment and to lock in a profit.
The advantage of this strategy (besides the simplicity) is that an
investor
guarantees the return of the original investment or locks in a profit.
Meanwhile, the investor still participates if the stock continues to run.
The last strategy, using Stop Orders, is extremely powerfully but underused
by many investors as they do not understand them. There are two types of
Stop Orders that can be used to sell a stock, a Sell Stop Order and a Stop
Limit Order.
In a Sell Stop Order, the investor sets a Stop Price with the Broker. If
the stock price moves below the Stop Price, the order becomes a Market
Order, to be executed at the next available price.
If the investor set a Stop Price of $15 per share for 1,000 shares of
Hotstock.com and it moved below that price, the broker would automatically
sell 1,000 shares at the next available asking price, no matter if it is
above or below the $15 Stop Price. (It should also be noted the order can
be for any number of shares, not just the full 1,000 shares).
The advantage of the Sell Stop Order is that the investor is ensured that
the stock will be sold. The disadvantage is that the investor is not sure
the minimum price the sale will take place.
With a Sell Stop Limit Order, the investor tells the broker of two prices:
the Stop Price (as before) and the Limit Price (the minimum price the stock
should be sold at). (One quick word to interject here, Stop and Stop Limits
are sometimes dangerous on the OTC BB because the exchange is actually a
quotation system controlled by market makers. They can simply place 100
share block orders until they approach the stop and leave you selling the
stock at far lower than you wanted. -Chris A.)
Assume again the investor set a Stop Price of $15 per share for 1,000
shares of Hotstock.com as well as a Limit Price of $14. If the stock moved
below the Stop Price of $15, it will then be sold at any price above $14
(if the price never returns above $14, it will not be sold).
The advantage of the Sell Stop Order is that the investor is sure of the
minimum price the shares will be sold for. The disadvantage is that the
shares may never be sold (we all know that Internet Stocks can move
extremely rapidly, both Up and Down).
One caution when using any type of stop order: avoid setting the Stop
Price too close to the current price. This will avoid selling the stock
unnecessarily. In general, the Stop Price should be kept 15-25% below the
current price. Assuming the stock continues to go up, the Stop Price
should also be raised.
The biggest advantage in using Stop Orders is that it lets the market tell
us when its time to sell. Investors should be aware, however, that not all
brokers accept Stop Orders on all stocks – something you may wish to
consider when selecting a broker!
The last thing to do after selling any stock (no matter which method you
choose) is to quit worrying about what it does after you sold it. There
will be other stocks and other days, the sun will come up again tomorrow
just as it did today.
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