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Strategies & Market Trends : Gorilla and King Portfolio Candidates

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To: Uncle Frank who wrote (24)2/18/1999 6:18:00 PM
From: Knighty Tin  Read Replies (1) of 54805
 
Frank, I haven't read the book, though I am familiar with the concept. You basically buy what went up a lot in past years and kiss your money goodbye tomorrow. <g> That is a bit rough, but, as a contrarian, the idea of buying the highest priced stocks in the market is anathema to me. It is like betting on Silver Charm. Silver Charm is a great horse, but you make very little money when he wins and lose your shirt when he loses, because the odds are against you despite his quality. Sort of like what happened with Dell, except there is no quality there. <g>

I do agree with the folks who want to find future gorillas. Unfortunately, having done that for decades, I find more spider monkeys than gorillas. However, the few I do find more than pay for the effort. I would caution that that is a game to be played when the market is undervalued, not at the top of a manic bubble.

Good Luck,

MB

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