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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?


To: Bob Rudd who wrote (14576)6/7/2002 7:20:07 AM
From: Dale Baker  Respond to of 78744
 
Bob, a possible strategy for you: any stock subject to doubt or controversy, put a 10% stop loss under your entry price.

Then, if any serious crap starts to fly (and especially if it sticks) get out immediately. Period. No questions asked.

Think about the companies that have blown up lately, then pick similar companies in the same niche that were stable and decent picks to own. For example, DUK instead of DYN, PSFT instead of AREM, GE instead of TYC. You can still lose money but you won't get hammered.

There is always another way to play a sector than a potential implosion candidate.



To: Bob Rudd who wrote (14576)6/7/2002 3:12:49 PM
From: Bob Rudd  Read Replies (2) | Respond to of 78744
 
Bought back half the TYC I sold yesterday @10. When I sold, I certainly didn't expect the ensuing collapse. The concerns expressed are effectively discounted with a margin of safety based on my method of scientifically analyzing this company [Wild-assed guess].
Added to ELN @ 7 & WMB @8.40.