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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: Sommers who wrote (2970)	6/23/1999 4:40:00 AM
From: LindyBill	Respond to of 54805

How I really did lose my Butt on Manuguistics In April of '98, when I was buying my little "basket" of Gorilla candidates, MANU was one of the first I bought. (I just looked at my Portfolio for the end of April '98 and I am horrified to see that I owned 15 stocks at that time. Fortunately, AOL, Microsoft, Dell, and Cisco were 67% of the Portfolio.) I bought 100 MANU at 55, on April 27th, along with the rest of the basket of Gorillas that month. MANU bounced along between 55 and 60 for 3 weeks, then the earnings report came out on May 18th. A disaster! (I was so dumb at the time that I did not know when the report was due!) On Friday, May 19th, MANU dropped from 56 to 47, on 7 time's normal volume. Did I keep my head while everyone else was losing theirs? You bet I did! I held on. On Monday, May 22nd, MANU dropped to 29 & 1/4 on 8 time's normal volume. Did I lose my head and sell? Not me! On June 19th, I sold at 23, a 46% loss. My little "basket" of Gorilla candidates had turned into a little "basket" of Turkeys. What did I learn? Stay out of "Small Cap!" the Funds will dump on any bad news, and the stock is too thin to support the dump, or to come back. I now have three rules for buying "Small Cap" 1: Don't! 2: If you do, buy one that will never miss its numbers or have bad news 3: If it does miss its numbers or have bad news, run, don't walk, to the nearest exit! Don't sit there and post to its thread, " Gee, this looks like a great time to buy more!" GET OUT! And always remember that old Adage: If you can keep your head while everyone around you is losing theirs, Maybe you don't understand the situation!