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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: MrGreenJeans who wrote (32834)	10/17/1999 3:36:00 PM
From: Proud_Infidel	Read Replies (3) \| Respond to of 70976

MGJ, There are a few more things to consider. Only the most arrogant people try to jump in and out of the market, thinking their knowledge is better than the aggregate wisdom of the market. The time to evaluate your position in the markets is when markets have reached all time highs and ascertaining whether or not a market inflection point has been reached. The time to sell is at market tops not at market bottoms. True, but even this is not so clear. Let's assume for a minute you want to invest in AMAT for 5-10 years. If the Dow was at 11,000 and AMAT was trading at 80 and you considered this a top(for the overall market) and decided to sell AMAT because of it, you would need the price of AMAT to fall to about 64 to get back in with the number of shares you sold at 80. This is of course, due to capital gains taxes. However, during this past selloff, we have barely seen AMAT break 80. If one has gains in a stock like AMAT, the decision to sell at "market tops' is not as easy as SOME PEOPLE make it sound. Then again, they probably have no capital gains to worry about:-) BK