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

To: Sergio H who wrote (53374)	2/11/2014 10:40:51 AM
From: Wallace Rivers	1 Recommendation Recommended By Jurgis Bekepuris Read Replies (1) \| Respond to of 78748

By its very nature, "value" investing will tend to migrate toward stocks trading at 52 week lows, or in the bottom end of that range. So, yes, I would argue that the majority here are bottom feeders, falling knife catchers, etc. I have had my share of blow-ups, that's going to happen if you stay in the game for long periods of time. I also felt uncertainty had given me a great opportunity when I purchased KMB SYY and some other large cap names when things looked really bad at the market nadir. Paul chooses to cast a wide net and throws his ideas to us for our own due diligence. You have the opportunity to ignore. This is not the thread to discuss the merits of the likes of TWTR, PCLN, AMZN etc. Somehow, I don't think the moderator would object if the bulk of the discussion on a particular stock were on its merits as a value proposition, with some TA sprinkled in.

To: Sergio H who wrote (53374)	2/11/2014 11:02:34 AM
From: MCsweet	1 Recommendation Recommended By Jurgis Bekepuris Read Replies (1) \| Respond to of 78748

I am pretty sure Benjamin Graham suggested using stocks at 52 week lows as one starting place for buy candidates. Although technical in one sense, it is obviously fundamental in another -- stocks at 52-week lows are more likely to have cheap valuations. Although I pass on many of these companies, I think it is valid and useful to take a look at them in the context of a value strategy, particularly late in the year, when you can get a tax-loss selling rebounds into the next year. MC

To: Sergio H who wrote (53374)	2/12/2014 2:41:40 AM
From: Spekulatius	1 Recommendation Recommended By Jurgis Bekepuris Read Replies (2) \| Respond to of 78748

Anything can be a starting point for a value stock, including 52week lows or a recommendation from my grandma. Generally, i think 52 week lows. Are not a bad place to start, but I have seen at least one value investor sho only buys at 52 week highs and seems to be successful at that (he claims it avoids value traps). I have done best with stocks that were just sitting there and sometime have been moving up slightly. A stock is not a value stock because the chart looks good, or contrary bad or oversold, it's a value because the quote from Mr. Market values it for significantly less than what it worth. I think technical analysis can be used as a starting point, or maye as a tactical tool to determine entry or exit points, but. I don't think that its means by itself to determine if a stock is a value or not.