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No. of Recommendations: 21
Is it not likely that the increasingly greater numbers of individual investors (and therefore well-researched individual investors) is the cause of the quicker rise to hyper-valuations.

It seems to me that investors are simply saying about JNPR (much like you said) "hey...this stock will be worth this much in ten why wait, lets just price this baby up now!"

Of course JNPR is not the only one.

The major culprit is unfortunately a blessing as well.
We are blessed with a freedom, or independence if you will, of investing like never before. Online brokers, and advances in computer technology have made this possible.

Now any Joe Investor can hook up his computer, send a check to (blank-trade) and be in business for himself in a week or less.

The idea of getting rich quick in America is alive and well, and that is the cause for the momentum traders which help accelerate the growth of Gorillas and Kings.

Gorillas and Kings succeed first and foremost b/c they are the leaders, technologically, in their field.

So their stock price goes up.

Momentum traders see this, and bid it up more.

The REALLY uneducated momentum trader sees this and bids it up higher still.

Meanwhile the daytraders keep buying and get ready to sell at a moments notice.

Ahh...the technology volatility.

Tech stocks are sexy too.
James Bond movies and pulp fiction do not sell on themes such as utilities and paper.
Give the characters the latest gadgets, send astronauts to Mars, discover the cure for Cancer.
That is what the masses want!!

Anyway, I have a good idea why the markets are moving faster.
And I also agree, that it is making it harder to apply certain systems, b/c you seem to get into the action too late.

The problem is...I do not have a clue what to do about it.


Well, if technology is always changing, and new paradigms are constantly created, then there will always be new Gorillas and new Kings, etc...

So if all I ever get is the last 10 bags of a 40 that really a source for concern?

Maybe I will not be able to kick back and sit on a stock for 5-10 years anymore.
Maybe I can only sit on it for 1-3 years, and then I need to put my money elsewhere.

If I am constantly doing my DD and constantly staying on top of things (not in the day-trading sense, mind you), then I do not see where the lost profits come in.

It seems what we should be worried about is our exit strategies.

We should define what signs to look for to know the end is near.

We should define how to realize an industry is being replaced or how a technology is being replaced.

We need to replace our mentality for GREED into a mentality for sustainable growth in our portfolio.

I am going to sleep now.
I bought JNPR recently, and it is up about 30% this month or so.

I will not stay awake thinking about what I already missed.


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