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Technology Stocks : Semi-Equips - Buy when BLOOD is running in the streets! -- Ignore unavailable to you. Want to Upgrade?

To: Ian@SI who wrote (7937)	6/30/1999 10:18:00 PM
From: orkrious	Read Replies (2) \| Respond to of 10921

The problem with attempting to trade these stocks during the upleg part of a cycle is that one has to make 2 correct decisions. There is another consideration that changes the equation significantly. Taxes. With the long-term rate now at 20%, versus a short-term rate close to 40%, one has to have almost double the gains from trading just to break-even compared to a long-term hold. This makes trading these stocks an impossibility, although I do plan on exiting in a few years and paying my 20%. (Although I bought in this group way too soon, I will get out when the crowd is saying "this time it's different.") (Ian, clearly, the above applies in the US. I am not sure of Canada's tax structure.) <G> Jay