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No. of Recommendations: 17
trimaran wrote:

(hoping that those in the market today enjoy their gains but do not get so giddy that they fail to be careful)

I fail to see how my comments were 'giddy'. Rather from the LTB&H side of investing - I've oft read that 'statistic' which must be supported with some type of data about the 10 best days of each year account for the majority of the gains that year. I should go look it up in "Random Walk", but the wife and I are here enjoying some wine and the Christmas tree. Regardless, if one were not 'in the market' on those days and were a LTB&H investor, their performance would suffer.

This statement implies that you are out ONLY those ten days. If you do not ride the sucker down by sitting on the sideline for the 50% drop since spring you are still ahead compared to riding it down and doing the happy dance today.

Once again, the statistic is for a historical perspective. Tossing in to that mix a one year example of a major drop would obviously result in skewed data. Yet, the historical data remains in tact. I don't know about all of your individual stocks, but I have many stocks that are much higher now than they were at the market top this spring in spite of their shares coming down - including stocks with 50 - 100%+ gains by just riding it out. Some of those stocks are not exactly broadband message board material, but I keep a pretty diverse portfolio. Who would have thought things like Cardinal Health, Safeway, Harley Davidson, etc... would give me an impressive 52 week return that surpassed some of my favorite tech stocks?

Then again, you mentioned you were a trader. Everyone knows I'm on the other side of the fence. A tortoise who rides it out waiting for these 10 'best' days each year to meet my goals. If that comes across as 'giddy', I don't intend for it to be taken that way. I am, however, giddy in relationship to the Qualcomm and Texas Instruments cross-license agreement because that was a market that Qualcomm needed access to in order to reach the dual system phone market. Considering the 3G market has been tagged at around $200 Billion, Europe constitutes $150 Billion of that in the study. Hence, Qualcomm now has access through the deal with Texas Instruments. Those kinds of things make me 'giddy' as an investor.


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