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Strategies & Market Trends : A.I.M Users Group Bulletin Board -- Ignore unavailable to you. Want to Upgrade?

To: Bernie Goldberg who wrote (13440)	11/4/2000 9:07:09 AM
From: OldAIMGuy	Respond to of 18928

Hi Bernie, The way I've usually handled the pace of my AIM trading is to have a "rest period" after each trade. Let's assume that one has a GTC Limit order fill on Wednesday. Then, in my opinion it pays in the long run to wait a period of time before entering the next GTC Limit order. For many of my more active equities that "rest period" is a week. So, in that example, I'd wait until the following Monday to enter an order. That's not officially a week, but if that order fills again on Monday, then the following week's order will have waited at least a full trading week. It works out in the end. I started this habit way back when I was still doing AIM on paper. At that time the rest period was a month. Later on I moved it up to bi-weekly. Today, my portfolio is a mix of bi-weekly and weekly rest periods. So, on the bi-weekly accounts, I will enter my next GTC order the start of the third week of the month. If it fills immediately, then it's a long wait for the next order to be placed. If it doesn't fill until the very last day of that trading period, fine. It might also skip several periods with no fill at all. However, when it does fill, the I restart the clock for waiting until the beginning of the next period. In this way, I sometimes have orders back to back (if they are filled near the end of one check-up period and the beginning of the following period). However, then there's a hesitation until the next order is placed. All that said, I still review all my open orders and my positions once per week. This is a status review. Then I replace some GTC orders on my more active stocks and wait another week on my slower moving ones. I, like you, enjoy it when there's been enough movement in the price of a stock to enter an order for greater than the minimums of my business plan. As you read my weekly newsletter, I'm sure you've noticed that frequently, in an active market, the size of the orders is much larger than 5%. Recently with ADCT, I think one addition was something like 25%! Feels good when that happens! I don't always stick with the rules presented here, as with my ADCT this week. With that position strapped for cash, I entered new GTC orders at the completion of each previous sale. Now, with 15% bankrolled in CASH, I have some breathing room. This is when I'll go back to my weekly checkups on ADCT. Other stocks, like Sealed Air Corp (SEE) can be managed on a bi-weekly or monthly basis and never miss a beat. Best regards, Tom

To: Bernie Goldberg who wrote (13440)	11/4/2000 9:48:13 AM
From: Steve Grabczyk	Respond to of 18928

Hi again Bernie. Yeah I agree. That order for PALM had been out there over a week if memory serves. It filled right away. My mistake was not pushing it higher when I found out early in the week that PALM was going to be added to the Nasdaq 100 on Friday. There was virtually no reaction on that news so I just left my order out there as it was. I think 24 million shares changed hands on PALM yesterday. My order executed early, and I just stayed away the rest of the day. After the market closed, I put my $67 order in for the quantity AIM wants. It may not fill Monday morning. I think @ 66 15/16, PALM is overpriced. Irrational exuberance. If I get the order filled, then I'll consider it a gift. Otherwise, I'll just shift back to my normal levels. Regards, Steve