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


To: aptus who wrote (14436)1/20/2001 4:20:18 AM
From: Larry Grzemkowski  Respond to of 18928
 
what AIM settings are you using for JDSU?

I had all my stocks set at a 0% sell safe to generate one buy and seeing that I got my buy in JDSU my settings will now go to 4% buy and 16% sell.

I am using a sliding scale for buy and sell safe based upon a stocks YPEG one year forward. My scale looks something like this:

YPEG BUY SAFE SELL SAFE
<1 0 20
>1 <1.5 4 16
>1.5 <2 8 12
>2 <2.5 12 8
>2.5 <3 16 4
>3 20 0

Larry G



To: aptus who wrote (14436)2/16/2001 2:40:10 PM
From: aptus  Read Replies (2) | Respond to of 18928
 
Just had another buy on JDU.TO (the Canadian JDSU).

The funny thing is that less than one month ago Automatic Investor recommended selling at 95.55 and I remember thinking, "I don't want to sell because this stock is just getting started on its upward trend." However I sold anyway as I decided to take my own advice and always follow Automatic Investor's recommendation unless there's a good reason not to (and my gut feeling that the stock would continue to rise was not a good reason ;-).

Of course 4 days later the stock rose to $98 (which made me think my gut feeling was right all along) and then promptly retreated (well perhaps retreated isn't quite the word, how about "promptly ran down a large, steep hill in a mad panic?") to 57.99 -- at which point I was able to pick up all of those shares I sold at 95.55 plus a little bonus on top.

What's the moral of this story? Well, there are two actually.

1. Always follow AIM unless you have a good reason not to.
2. Markets like today's are VERY good buying opportunities but, again, don't get carried away buying more than AIM recommends because the drop might not be quite finished.

I also have an order in to pick up some Nortel shares. We'll see how that goes.

regards,
mark.
www.automaticinvestor.com