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


To: Eric Jacobson who wrote (33452)10/20/2000 11:22:20 PM
From: StockHawk  Read Replies (1) | Respond to of 54805
 
my only advice would be to NOT shy away from stocks at or near a 52-week high just because they are at or near a 52-week high. In fact, I'd say you should add money to only those stocks that are exhibiting high relative strength.

That is an interesting statement, and is in line with the Russian Army approach favored by many here. However, if we look at the stocks in your post, and roll the calendar back one year, then putting money in those with the highest relative strength would have seen funds go into QCOM and JDSU, SEBL and then GMST. EMC, NTAP and ITWO had lower relative strength.

Perhaps when dealing with G&K stocks and 52 week highs it may be an idea to consider how long the stock has been attaining new highs. A year ago QCOM and JDSU were hitting new highs week after week, while EMC, NTAP and ITWO were basing before attaining new highs.

Perhaps adding new funds to the candidate that has been making new highs for the shortest period of time might be the way to go.

StockHawk