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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED -- Ignore unavailable to you. Want to Upgrade?

To: im a survivor who wrote (35405)	4/6/2001 1:31:05 PM
From: stockman_scott	Read Replies (1) \| Respond to of 65232

<<most folks last year thought the bull was going to keep in doing it's thing>> That's so true...Now we have experienced one of the most brutal sell-offs in the history of the stock market....Lots of expensive lessons have been learned...IMHO, we have over-corrected but it will take time for the market to start looking forward to better prospects out on the horizon. The trillions of dollars on the sidelines will be put to work much more cautiously this time...=) Best Regards, Scott

To: im a survivor who wrote (35405)	4/6/2001 1:32:35 PM
From: im a survivor	Respond to of 65232

<<Last year and probably this year will go down as a whole lot more then just a blip on the screen as some have suggested.>> Another thought considering margin. If you recall, when naz went from plus 5000 and many, many people were pushing margin percents pretty high, we had our first drop. At that time, the opinions and advice concerning margin calls were openly discussed. It was Tom's view, and he admittedly said he helped many out of margin call woes......that stock should not be sold to cover a margin call. In fact, the advice given was that it would be foolish to give in to the houses who were trying to steal our shares. Well, the deal was to sell leaps to cover the margin call. This was advice given out with naz in the mid to high 4000's.......So, what happened to everybody that followed that advice.....they ended up losing more. Why? Because the market kept going down, and boom, another margin call, only this time you have to by back leaps, before you can sell the stock....or you were foolish and put cash into the account to cover the call....but wait, what happened....we kept going down, and boom...more margin calls......anyway, we could go on with this discussion, but the advice was given with most stocks such as elon, jdsu, qcom and etc.....well over $100 and many of those are down 90%....so in hindsight, that was some pretty awful advice and anybody that followed it...and unfortunatly many on the porch readily admitted to following that advice.....got their ass handed to them on a silver platter. The best thing would have been to sell stock or deposit cash to eliminate margin completely right after the first fall to the mid 4000's....had most people done that, they would be far better off today. Margin was a killer for many people last year, and the advice to repair margin calls made it that much worse for those that followed such advice..........One thing I hope last year has taught everybody....No Margin. No excuses.