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Pastimes : The Justa & Lars Honors Bob Brinker Investment Club -- Ignore unavailable to you. Want to Upgrade?

To: Hank Stamper who wrote (12506)	3/16/2000 11:37:00 AM
From: Kirk ©	Read Replies (1) \| Respond to of 15132

re Something is happening here. But, you don't know what it is, do you, Mr. Jones? I could speculate and this is often as useful and belly button lint contemplation... 8) I think the market is saying money wants to be in it, but it really doesn't know what set of rules to use. Also, we KNOW that some sectors that are hot ALWAYS get ahead of themselves (reason I took some LUCKY profits Friday in AMAT, LRCX and SFAM in my newsletter portfolio) and have to correct to return to more reasonable valuations and so they can go higher. I think if Bob were a bull rather than a bear, he might call this a "health restoring correction in the NASDAQ and SOX in particular". As a bear, he might call it "part of the topping process". For myself, I like the idea of owing stocks that are in growing markets and are strong on fundamentals. I can "ignore" the markets and just watch my stocks. As cyclical as AMAT is, it has a bottom line 40% or so growth rate and this is reflected in its higher lows at the bottom of each cycle. The trick is to not buy at the peaks and not sell at the bottoms. 8) I've also been told a big mistake most investors make is selling winners too soon. Consider selling MSFT or CSCO a few yrs ago to maintain a 4% holding: much money is left on the table. I prefer selling 20% or so for every X% they go up... (set your own value of X) If a stock goes to 10 or 20% after I got my original money out, why should I punish myself for selecting good stocks? (other than to reduce risk and thus potentially reduce return.) cheers PS Interesting Chart: chart.bigcharts.com Not too many > 10% corrections in that period. 1987, 1990, 1998, 1999 and 2000