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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: waverider who wrote (106033)	10/5/2001 12:19:43 AM
From: waverider	Read Replies (2) \| Respond to of 152472

A final thought... The stuff I am reading here tonight is the same stuff I have read over and over on many boards when their stocks conintued to sink lower and lower in the past year. All that mattered was many folks hung on and were wiped out. Exit strategies are critical and when a previously strong stock makes a new low, that is one major signal to prepare to prevent further loses in one's portfolio. The reasons do not matter. The market does not care. Good luck everyone. <H>

To: waverider who wrote (106033)	10/5/2001 1:21:03 PM
From: Jacob Snyder	Respond to of 152472

exit strategy: Yes, I have a plan B. And am thinking about a plan C. If you recall, last year I established a large position in the stock, at an average cost of 67. Then, almost a year later, I sold all of it at 63. So, I had a modest loss, but kept my capital largely intact. Keeping my capital intact, while remaining invested, is my only goal in this recession. The reasons I sold: 1. In the summer of 2000, I thought a recession possible but unlikely. By the time I sold in April, I thought the only question was how severe the coming recession was going to be. 2. In mid-February 2001, the chart broke down. From the July 2000 low, till the February 2001 breakdown, the chart had a pattern of higher highs and higher lows. When that reassuring pattern was decisively broken, I didn't sell immediately, but I used the next big rally to get out. I will use similar thinking to go back to the sidelines again, if conditions warrant. This stock is so volatile, that a patient and disciplined investor is given opportunities to get out on rallies, without (much) losses, even in a longer-term downward channel. That is, it's a wide channel, which I can take advantage of, if I guess very badly about where the bottom will be. I guessed very badly last year, and got out without much damage. I'm trying again, but Plan B and Plan C are always on my mind. BTW, Plan C is to go back to 70-90% cash, which is what I did in January 2000.