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Strategies & Market Trends : CAVALRY'S SHORT BUSTERS - MAGIC EIGHTBALLS PICKS -- Ignore unavailable to you. Want to Upgrade?

To: Mr. Stress who wrote (298)	9/12/1998 10:57:00 PM
From: Cavalry	Respond to of 1637

don't feel bad about how many shares or how much you make on any one play, dave. i was hoping on this thread to identify some fundamentals which we can apply over and over to new investment opportunities. give a man a fish he eats for a day teach a man to fish he eats for a lifetime you brought the first true short squeeze to this threads attention. throughout si history on this thread dave mazza will be the man who brought abte to cavalry's short busters. i am also slowly trying to get into proper money management techniques on this thread. money mangement is almost as important as picking winners. traditional portfolio asset priciples dont transpose over well into short term arena in my opinion. there is nothing more frustrating then loading up on the losers and having a small play on the big winners. we all need to make a side note in our records whether each pick is a four star play, a three star or just a flyer, as well as some notes why we even bought this stock in the first place. then we can go back in our investment records and compare. if the returns from our 4 star plays dwarf our three stars or flyers than a staggered percent of bank is in order. key is, do the ones we like the most make the most or are we letting our emotions get involved in our investing. when we check reasons we bought in first place we might find one common theme we keep buying into and losing money on or vice versa maybe one angle is giving us all our winners. however if one finds his 3 stars or flyers outperforming the 4 stars then it would be better to use a fixed % of bank say 10% of bank each play. i will get into the kelly criterion, the theory and how we can apply it to our investments at a later date. cav ps congrats again on abte sharp eye.