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

To: Bruce Brown who wrote (16755)	1/29/2000 8:29:00 AM
From: Uncle Frank	Read Replies (1) \| Respond to of 54805

>> I can't comment on the 'averaging down' theory as most of us, like Mike, placed our investment at a much lower cost basis... Averaging down seems tantamount to chasing bad money with good, but buying on dips has been a very successful approach for the past few years. They both consist of adding to an existing position during a time of weakness, but the reasoning behind them differs greatly. The individual averaging down is foolishly depending on an arithmatic process, while the dip buyer feels justified by the value of the underlying equity as supported by their understanding of its fundamentals. In the end result, however, is there really a difference? >> Sorry about the memory loss.... Unfortunately many of us on G&K can relate to it <gg>. uf