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Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?


To: Vincent Chong who wrote (14733)10/13/1998 7:46:00 PM
From: Glenn D. Rudolph  Read Replies (1) | Respond to of 27307
 
Your strategy requires a very good timing
and it carries bigger exposure. Mine was
designed to be conservative on the upside
and a little more agressive on the down
side. It is designed for a stock with
Yahoo's characteristic which is that it
tends to bounce back after fast big drop
occasionally. JMHO.


Vincent,

I was not picking on your strategy. It is a good strategy. YHOO is very volitile and those that "play" with it must be careful. My strategy was much more aggressive with a possible larger return and does give one a lot of leeway for error. However, large risk still exists.

You chose a conservative strategy on a non conservative stock. You used the most important part of investing which preservation of capital. My thinking was another angle only. That was to not invest in a speculative stock such as YHOO if one wants to be conservative. You provided a way to take the risk out. There is not a right or wrong here at all. Simply, it is risk/reward and you cut both. One could do that too by investing in a less volitile stock.

I do not know if you are bullish or bearish on YHOO. I admit to being bearish although currently have an extra 100 shares net long. It is my humble opinion that YHOO will get a major hair cut. I have no idea when. I want to be positioned to take advantage when it occurs.

I also want it know that I believe YHOO is an excellent company with prospects for a great future. I just believe the market cap is way ahead of itself. It is a valuation issue more than a quality issue.

Glenn