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Pastimes : James Cramer Skeptic Thread -- Ignore unavailable to you. Want to Upgrade?

To: Mama Bear who wrote (857)	10/20/1998 4:56:00 PM
From: Carmine Cammarosano	Read Replies (2) \| Respond to of 1254

Mama bear, remember this is a thread about Cramer, not about me or about you...Mr. Cramer and the TG who go on TV, on the internet etc, etc, missed it big time! Anytime you want to see those transactions, let me know, the offer stands...What a crock, that Cramer...he missed it big time!!!

To: Mama Bear who wrote (857)	10/20/1998 11:55:00 PM
From: Michael Elizabeth Chastain	Respond to of 1254

You're really not right until you book the profit, or wrong until you book the loss. Hmmm, food for thought. I agree with the first part of this. It reminds me of one of Cramer's rules: never let a profit turn into a loss. If you open a position, and you are showing a profit, and the profit starts evaporating, close the position before it hits breakeven. I lost tons of money riding winners down before I learned this rule. Now I leave money on the table occasionally, but it's a lot better than what I was doing before. I think the second part, "it isn't a loss until you book it", is a dangerous psychological error. It's a very natural idea but what happens is, someone buys at (say) 38, the company starts deteriorating, the guy holds on at 35, 30, 28, all the way down the line. It's one thing to have conviction. It's another thing to have "basis on the brain" and to end up saying "hey I paid 38, and because I paid 38, I am not going to sell at 28, come hell or high water." Here is a related statement: "it isn't a mistake until I admit it." Very human tendency, and a very wrong attitude for an investor.