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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: j g cordes who wrote (14869)	11/20/1997 11:43:00 PM
From: TimbaBear	Respond to of 50167

Thank you for taking the time to respond with such a detailed post! I am not an expeienced player in these fields......just a somewhat bright, highly curious, and very interested( some might say obsessive) individual. I have paper-traded for about 6 years, have invested through a self-directed IRA since 12/23/96......and have done some options for the last year or so.....just buying calls. The second day of the market tank, I sold MCIC to buy WCOM and was lucky enough to pick pretty close to the bottom of the market, however, my broker at the time (A G Edwards) was able to execute the sale but not the purchase.......did not get the info from them until the next day that the full transaction did not happen....I got angry, went to 100% cash and transferred the account to a discount brokerage (Olde). In the 12 days it took the money to "hit" at Olde, I did a lot of soul-searching......I did not, and do not, like the feel of this market....therefore I decided to park the money in a stock that I felt had limited downside and fairly decent upside until I felt better about being in touch with what the market direction was. I feel that the internet will continue to grow regardless of whether overall economies get trashed or not. I feel that many hardware suppliers may have uncertain profitability for several quarters but may be able to mask some decreases in the next quarter so a true picture may not be clear to me about them for quite some time. I think that energy-related companies will be very profitable for as long as America keeps moving away from conservation......however, the recent run-ups in prices don't give me much confidence in finding something that I feel safe with in the short ( for me that's 4-6 months) term. Therefore, I parked the whole amount in WCOM, and have had to work through the thinking on it many times since then because it goes against the diversification thinking that I have. I just feel that it's downside is limited to mid-20s ( I bought at 29 3/4) and the 12 month upside is 40-45 conservatively....that gives me a 30-40% return on what I consider to be a safe stock.... Hope I'm right :)