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Strategies & Market Trends : Gorilla and King Portfolio Candidates -- Ignore unavailable to you. Want to Upgrade?

To: Jurgis Bekepuris who wrote (54510)	10/29/2003 4:32:17 PM
From: Stock Farmer	Read Replies (1) \| Respond to of 54805

Yes, I agree with you to some extent. The problem we get into is ratcheting of expectations. Take Qualcomm for example. When the price got to $75 people suddenly started talking about it going to $100. And when it got to $100 they set their sights on $150. And when it got to $150 they were breathlessly looking at further gains. And then on the way back down they revised expectations downwards. And this week folks are suggesting to the board that single digit annual return is pretty good over 5 years. For people who don't have the self discipline or wisdom to realize that they are getting caught up in momentum (it's hard to figure out how fast you're paddling in a flat-water current), like me, often a more disciplined approach is necessary. There comes a point when it's important to say "enough already, I got what I wanted and I should be happy". If only to protect gains. I think in the end however, it comes down to a matter of personal style. I was quite happy reaching my retirement goal in 2000 some 20 years ahead of schedule. Had I ratcheted up my retirement lifestyle expectations, I might find myself in the position of having to work for the next 30 years. Or worse, unemployed and in the same situation like many of my erstwhile peers. Maybe I'm crazy, but I am quite happy missing the opportunity to go from having more wealth than I expected to twice as much more than I expected, if by taking this opportunity I risk having less wealth than I expected. There are many reasons for selling. Protecting gains is one of them. Nobody ever went broke taking money off the table.