Forum Archive Index - July 2000

[Mike Hudson <MHudson@placemakers.co.nz>]

I really enjoyed the Happy Trading chart that David Reid posted the other
day as almost exactly mirrored what happened to me.

Normally I  am a buy and hold type, if I like the fundamentals of a stock I
will stick with it unless I those fundamentals change. I find this strategy
usually works for me. However when I first starting dipping my toes in the
Wall St waters I listened to the conventional wisdom which says you should
set a stop loss.

One of my investments was Abercrombie and Fitch (ANF)  which seemed to me to
have been oversold. I bought in at $11.50  (probably # 6 on the chart) and
decided to sell if the stock went above $15 or below $9   The stock
gradually declined and then came out with some poor but  only slightly worse
than expected same store sales results for May. The stock dipped further and
I bailed out at $8.50. 

This was No.12 (Good thing I sold everything) It has now gone through 13 and
14 and is now up to $12.20 (#16 What the hell??)

Moral of the story - If you have a system that works, have the courage of
your convictions and stick to it.

Cheers
Mike H  



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