Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Trader J's Inner Circle -- Ignore unavailable to you. Want to Upgrade?

To: Wes Stevens who wrote (18117)	7/27/1999 11:18:00 PM
From: LTK007	Read Replies (3) \| Respond to of 56535

Wes wrote<< Let me suggest another strategy. Evaluate each of your holdings again. If you did not own them would you buy them tomorrow at the price that you will be selling them?>> ah the the Buffet litmus test. Well let's see DEMP-yes EDGR--No IMCL-yes NPLS--no PNJA-yes PDYN-maybe PTEK-yes it is really because of EDGR and NPLS that I am in this situation they are 28k of my losses--my losses right now are actually 31k--but I threw in another 4k for a bad open tomorrow. Both EDGR and NPLS tell me in a bad market they collapse and PDYN could also. Regards the market I find I am HOPING the market will rally significantly,but my gut is saying otherwise. I think we all feel a major correction is in the cards,before any sustained,meaningful rally is to happen--and I can double my money in a twink if I just stay out of the market long enough,in the mean time I can get my loss back with quick hit and run daytrading if I see a screaming buy sitting in front of me to be bought. I ask myself,if the market did tank how bad could it get for the stocks I hold--and since none be IBM,they all could get killed except IMCL.I think I will keep that one. My decision will not be final until I say Jeff(my broker's name)"Jeff e are selling-selling all,except IMCL". Max

To: Wes Stevens who wrote (18117)	7/28/1999 12:24:00 AM
From: Trader J	Read Replies (1) \| Respond to of 56535

Wes: You know me, I always have thoughts. My timing has been way off as well, I have not posted most of my buys and sells recently because I have been SO off.... my losses are not as bas as Max's but I also recently cut my trading account in half to regain perspective and reduce exposure. I did not put it on the sidelines to put back in later, I took it out and will be using it for savings, house, etc....so it will not be going back in. I trade for fun.... and recently it has not been. The only fun has been in this forum here and the TI site. I am seriously considering taking my trading account all the way down to $20K and going long with the rest. I would like to challenge myself to work that $20k back into 40, 60 or 100K. That would make it fun again I think....but we will see. Max knows where I am coming from, and I him. I could never be ok with those kind of paper losses again....I wish I could because if you are an "investor" sometimes you will have to be "ok" with paper losses....can't try and time the markets. As a trader, I sell on any weakness in my trading account. Therefore, I need to make good picks. To tell you the slump that I am in right now....I have made 14 bad choices out of my last 15, my worst slump ever. But....if I had held onto most of those, it would be twice as bad now. Each person must assess their own scenario and stomach for losses. But....I very much agree with your advice to Max. I know many of his positions and would be comfortable with a few of them, and would cut the rest and move to the sideline. DEMP is probably ok, as is IMCL. How much downside could be left on NPLS, I would sell 1/2 and put that 1/2 back in if it drops another 20-30%. The others, I would probably cut at least 50% as well. For myself, I am considering going long (my definition of long that is) on AOL very soon here with the rest of my trading account. I really don't see much downside past 85 or so and the upside is probably 150-170 with major strength and renewed buying. When I go long, I always have a trader's mentality where I will sell into major weakness, and pick it back up at the first show of strength. Many people seem to think that if they sell an issue, they can't buy it again.....for whatever reason. I think the fear is that they will buy it back at a higher price. But if you save yourself 1, 2, 4 or 10 points to the downside....then it has paid for itself many times over. On the other hand, if you buy it back at a point higher, at least you slept better the night before. Preservation first.....always. J