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To: Selfop who wrote (17763)5/16/1998 12:31:00 PM
From: dave brown  Read Replies (1) | Respond to of 27968
 
"And the price now look's attractive because all these concerns have been raised and buyers are being cautious. "

Why do you say it looks attractive? IMO this is another flaw in logic for the small investor. You think it is a bargain because you are comparing it to some historical price, say $.50. The problem is information has changed since $.50, I don't mean released financials, but rather investor confidence, etc. You must decide whether you are going to buy or sell today, historical prices mean nothing. If you are buying a car and the dealer keeps lowering the price, don't you reach a point where you question what's wrong with the car.

IMO look for stocks that are near or at their all time high. The logic is that if it is at its all time high, every shareholder is making money. Happy shareholders don't sell, what if buyers want in. Price goes up to entice some investors to sell. Supply and demand, Baby.