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Technology Stocks : NEXTEL -- Ignore unavailable to you. Want to Upgrade?

To: freeus who wrote (3496)	12/8/1997 11:14:00 AM
From: mark bailey	Read Replies (1) \| Respond to of 10227

freeus-read your post and noticed you mentioned Jerry Kline. I've been listening to him over his Web site and generally like his style. I held on to WDC longer than I had intended as a result of his enthusiam though. Got out with a small profit in the mid $30's. As to when to keep or sell a stock I'd like to add a few thoughts. O'Neil says sell before your loss exceeds 7-8%. That rule, without some qualifiers will cost you some big winners. I think the right answer is sell if the price starts to drop below your buy price AND something has fundamentally changed about the company or business. WDC and Citrix are 2 examples of this. WDC started dropping quickly after getting over $100/share-Comp USA and other stores I noticed were starting to have more sales and rebates. Also noticed Fujitsu (sp?) drives were stuffed into all the stores I visited. That plus the stock action made me sell-you know the rest. Citrix is a small company making a product that depended on a liscense from MSFT. Market clobbered the stock from mid $40's to $10 when the head of NT developement at MSFT mentioned they were going to incorporate similar technology. Basically, at that point at least the fundamentals, hadn't changed but the market's view of the fundamentals did. Cisco this past spring is a similar example. I am not an "expert" trader but I don't think any set of hard and fast buy/sell rules work all that well. With regard to Nextel, have the fundamentals changed?? It doesn't appear that way but their is a lot of competition.