Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

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

To: Sergio H who wrote (2910)	4/17/2013 7:52:10 PM
From: The Ox	2 Recommendations Read Replies (1) \| Respond to of 4719

Gottfried posted a saying recently that I had forgotten about but used to think was one of the more "obvious" statements about stock prices..... *New lows beget new lows and new highs beget new highs.* Using this saying in the context of AAPL's fall, odds are that AAPL is going to go lower. That gap would be a very "symmetrical" place to look for AAPL to reverse or start to base and then reverse. Watching the action going forward, the first place to keep an eye on is the new low below 400. Last move down, AAPL retraced to 419 and change then bounced, only to leave the new buyers in the red. If you're approach is long term investing, then trying to "pick the bottom" is a task destined to fail more often than succeed. Let the trend reverse fully or take a new position near the current/latest bottom with a very tight stop just below. That's worked very well for me. I would rather lose a few points than let a stock gain downside momentum. As I mentioned to bruwin the other day, I've stop letting losses turn into whales. Cut bait. I actually feel that having more losing trades than winning trades may be "more healthy", as long as the losers are cut short and you let your winners run....another saying that is important when trading stocks!! Sure, every now and then you'll get shaken out but if the trend is truly reversing, then there is usually plenty of time to get on board for the next upward move. EDIT - These sayings hold true, especially when looking at stocks in the natural resources segment!! JMO, TO

To: Sergio H who wrote (2910)	4/18/2013 2:12:31 AM
From: bruwin	Read Replies (2) \| Respond to of 4719

Good to have freewheelin', freedom lovin', and no doubt fitter, Sergio back on (the) Board !! {:-) Looking forward to your posts ....