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Technology Stocks : Cymer (CYMI) -- Ignore unavailable to you. Want to Upgrade?

To: Jess Beltz who wrote (9299)	11/12/1997 8:42:00 PM
From: mauser96	Respond to of 25960

Leverage with a margin account is terribly dangerous, especially in a geriatric bull market like this one. A better way to leverage is to buy year 2000 LEAPS where available- this far out they act like warrants. In fact if you're holding a stock that you like long term but think will behave poorly in the short run, sell some shares and replace them with long term LEAPS (pick a time to buy them when volatility is low) A company can't spend future cash flows. These may seem likely but can't be assured. One thing I have learned about high tech stocks is that they live in an uncertain world, and that they need cash and little debt to seize opportunities and weather unexpected changes in demand or technology. I sold most of my shares in the mid 30's but unfortunately started buying back around 27, and compounded the mistake by averaging down. I knew better, but I did it anyway.. Cymer is only a small portion of my portfolio, but it still hurts to make such a mistake. There has been a tendency on this thread to blame others (shorts, analysts, etc) but the plain truth is that the bulls (me included) just used bad judgement. Maybe it's wishful thinking, but I'm still a long term bull, so I will probably hang on to my shares, and let time work for me.