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


To: E_K_S who wrote (43383)7/18/2011 9:31:24 AM
From: Madharry  Respond to of 78826
 
My experience has been that Mr. market is smarter than I when it comes to knowing when the party is over. and ignore what the technicals are saying at my own peril.
i got spooked out of some of my silver and gold stuff based on Mr. market but I wanted to be careful. I told the thread here when i thought the technicals had turned positive again and so far it has been spot on.
I know that as value investor we want to buy when things are cheap and sell when things are high, but my experience has been that the market tends to be wildly pessimistic and optimistic at times but also companies also trend to do things right or wrong and the information that investors get is far from perfect. So disney and apple established established some incredibly positive long term trends, that only the tip of which was visible at the time. with apple the turning point came with i tunes but no one was clever enough to figure it out fundamentally but Mr. Market did.

OT gold is above 1600 silver above 40 now. the talking heads are talking now.



To: E_K_S who wrote (43383)7/18/2011 4:47:37 PM
From: Paul Senior1 Recommendation  Respond to of 78826
 
I guess we are all prisoners of our regrets:

Madharry: Regret: selling a profitable position too soon. Madharry counters that, as I read it, by using technicals (ta) to stay with trend, even though stock may appear fair-valued. Train oneself to stay with stock for years as long as company produces per its plans. Train oneself to live with volatility so as to avoid getting shaken out of a good stock.

EKS: Regret: holding a profitable position too long and then riding it down: Countered by using fair value (fundamental value) to determine sell point (or points).
I sense from your posts here, that the counter might involve trimming of position as stock appreciates (partial sales vs. exit at all at once).

Paul Senior: Biggest regret: missed opportunities. Countered by increasing the number of positions held in every category. Deviating from strict Graham, to include gaarp, growth, speculative stocks. (Too much so, -g-, as some have said: "You buy everything")

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I often have believed that if I know a person's regret, I will know their current investing modus operandi.