Forum Archive Index - August 2000

["Warner Lamb" <cloud9@i4free.co.nz>]

Brian, good to have you back. I read the article too. Dont you think bottom
picking is the same as trend picking anyway only trying to be a little
earlier..still based on sentiment or your current feelings. eg A few bottom
pickers got TEL on Friday at $6.40-$6.42, does the trend picker now buy at
$6.91 after two up days...no thanks, Ill sell at $6.99. and take my 9%.
I think its trying to put people into baskets and although I would tend to
be a "bottom picker" and like getting oversold stock, I would still take
sentiment into consideration. Telecom may be a bit volitile in the meantime
but longer term 3-5 years I see it over $10. Same with CEN, tried to bottom
pick at $2.52 with intent to hold, no uptrend but there is always a point
where you say, this is a good entry.
If TEL had slipped below $6.40 I would have been prepared to buy all the way
to $6. I would rather use this strategy than wait for an uptrend.
Same for RMG, I would buy down to 30c then say goodbye if it slipped into
20s.

This arguement would be a classic example with RMG and BCH. The "bottom
picker" and the "trend rider"
Which horse you are riding now probably would answer the Q.
The comment "ride the trend until it ends" seems to be as risky as try to
pick the bottom. Sometimes knowing when to get off is harder than getting
on!
R
Warner


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