Forum Archive Index - April 2000

["Richard Hooper" <hoop@ihug.co.nz>]

I am not bottom picking ,I don't care if my stocks that I bought yesterday fall further. U have misinterpreted my thinking.Simply put, If an already underpriced stock falls further due to outside

influences from a different sector market (shoestring so-called new age companies running with no assets  & no profits & 80% of them probably never will) correcting itself ,These stocks will with time especially those with good fundamentals , will self correct . This usually happens after all the motion dies down after the roller coaster ride (and it ain't over yet folks).

Ok ,thinking short term as u are doing it might seem like bottom picking & very risky , however in a year or two down the track when some of these blue chips are back in favour and are trading around or above their  NTA e.g FFS @$1.40 I think alot of people would be wishing they bought in cheap, as was the case 6 months after the Asian Crash when the NZ market suffered more than the Asian mkts.

 I have alot of the times never followed to rest of the herd in a stampede or even when they are wandering down a certain path ,because during these periods of time why listen to people who are driven by emotion ,Working quietly in the backgroud picking up missed opportunitunities ,researching many hours of the days will pay dividends over a medium to long term 

 If u are a short term investor ,now is the time to stay on the sidelines and watch, if u dont like alot of risk.

Beware Yogi & Booboo are in town  :))

  Hope I haven't offended anyone

Hoop

----- Original Message -----

From: Tony Haddon

To: sharechat@sharechat.co.nz

Sent: Tuesday, April 18, 2000 12:13 PM

Subject: [sharechat] Risk & reward

Rational thoughts & NZSE have not been particularly rewarding bedfellows , why should that change ? It's always easy to rationalize wishful thinking. Bottom picking is pure gambling.

Regards

 

Tony Haddon