New from IBD

[skiracer]

I just registered yesterday so that I could see for myself what MM open positions were and for how long he had been holding them. Being completely fair in all respects he has had a number of gainers, most within the time frame of holding for 1 to 3 months. That's great if that is your discipline or strategy. I've always felt that any pre-planned or thought out strategy is better than none whatsoever no matter what it is. The problem I have is with the number of open positions he has been holding for quite some time. Some of them are big losses and I have to question the logic in leaving the capital in those positions in the hope that they will eventually move back up to his entry point. Also I feel that not including them in the overall results, % of gains or losses, just because he hasn't closed them out is just a way of denying the truth of the matter and doesn't justify the truth of the matter. Anyone can rationalize whatever they want to in any fashion. They are the only ones that understand the real truth of the matter within their own minds. If you had 80 trades and 63 were winners and 17 were currently open but on the minus side with that capital being tied up an no indication as to when or if ever it will recoup then would you be happy with that side of the portfolio? Never mentioning it alongside the 63 winning positions doesn't dispose of the fact that there's a negative side to the equation along with the positive. So to be fair to everyone wouldn't it be more equitable to disclose all of the information regarding the portfolio.
I've been on the negative side of the dialogue about MM since he first started posting on the IBD forum. I think that it's mainly due to the way he comes across. I've come to some degree of dealing with that side of his personality. The truth of the matter is now that I have taken a good look at his site I must admit that I'm impressed with what he has put together here. I'm big on people accompolishing and doing things regardless of my own feeling towards them. Aside from the egotistical rants and raves in his posts on the IBD forum I can now see that there is more to the story an the individual than the superficial hype in his posts over there. Now that I'm a registered site user he'll have to put up with what I've got to say about his trades and money management. Situations like this usually end up in a positive manner when intelligent openminded individuals absorb one anothers ideas and feelings.

[Karel]

Split off from Web's thread, as it really didn't belong there.

And welcome, BTW.

Regards,

Karel

[mrmarket]

First of all, I'd like to welcome skiracer to this forum.

Most new members to this forum (and its predecessors on Yahoo, Motley Food, AOL and Prodigy) have asked the same or similar questions. You can probably search through some of the threads here and get a better answer.

I'll summarize as follows: A stock doesn't know what I paid for it, and its behavior won't change whether or not it is above or below my purchase price. It's behavior WILL change if the market realizes that its value is greater than or less than its existing price.

With regard to tying up capital, I have held many many stocks where the price falls below my purchase price. However, by holding these stocks, I do find that they eventually go up in price and reach my selling target. The remarkable thing is that these stocks almost always outperform the overall market from the time I purchase them to the time I sell them. I am not "hoping" that they go up. I have history on my side. As long as I hold stocks that continue to post strong revenue gains with earnings acceleration, with reasonable valuations, these stocks eventually outperform the market. I don't know when these stocks will return to glory, but they almost always do.

Billjoe, among others, recently did an excellent analysis showing how selling these stocks when they were down would have been disastrous to my overall return.

With regard to "never mentioning" these open positions, I update my website regularly which shows both my open and closed positions. By doing so, I am "always mentioning" my open positions. So I'm really not sure what you mean.

Anyway, please feel free to look around and ask questions and add comments. There are lots of people here who will be more than happy to agree or disagree with you.

[MEA_1956]

Welcome to the freindlyest site on the web and hope to hear from you often. ===>M.E.A.

[Jaws57]

Welcome Skiracer,
Hopefully you will bring an open mind to this board and realize the posistive attitudes and ideas of the posters on MM's forum. I for one have learned a lot on this board, not only from MM but also from many of the main contributers that post their thoughts daily. From this I have beat all of the market averages easily the last two years, and have had fun doing so.
Maybe you can start up a thread from the IBD perspective and present some stock ideas based on the cup and handle theory that are primed for the big breakout.
Good trading!!!

Jaws57

[Websman]

Welcome Skiracer!

Once you look around, I think you'll find that this is the greatest investor site on the internet. There are some great guys and gals here who invest in many different ways. The funny thing is that we all get along! You won't find any bashing here at all.
I owe a lot of my success to Mr Market. I have soaked up a lot of valuable information here that has helped me to achieve a fantastic return this year.

Webs..

[mrmarket]

Yup...on the IBD Board, people kick and scream if you don't use THEIR style of investing. They get angry when someone makes money by NOT using CANSLIME.

It's kind of silly isn't it?? If the world worked that way, we would only have vanilla ice cream.

NEWSFLASH!! - $$$MR. MARKET$$$ isn't the only person in the world who makes money in the stock market. Moreover, I am thrilled when someone else, besides me, makes money in the market.

[Websman]

It's kind of silly isn't it?? If the world worked that way, we would only have vanilla ice cream.



WHAT???!!! NO CHOCOLATE CHIP MINT???!!! NO BUTTER PECAN???!!!

What a poor miserable world it would be with just vanilla!!!

Please don't talk like that Mr Market...You're scaring me!!!

[dmk112]

WHAT???!!! NO CHOCOLATE CHIP MINT???!!! NO BUTTER PECAN???!!!

What a poor miserable world it would be with just vanilla!!!

Please don't talk like that Mr Market...You're scaring me!!!

Webs, Saw your post on IBD...funny stuff, are you really canceling your subscription?

[skiracer]

I also saw that post from Websman. Are you really pulling the plug on IBD. My subscription runs out in early Feb. 2005 an I'll be letting it go then myself.

[Websman]

Webs, Saw your post on IBD...funny stuff, are you really canceling your subscription?

Yea, I'm through with it for now. I'll still pick up the occasional issue at the news stand. The only thing I like is the IBD charts, but it's not worth the price for just that.

If they offer me some kind of extra discount, I could change my mind.

[dmk112]

Yea, I'm through with it for now. I'll still pick up the occasional issue at the news stand. The only thing I like is the IBD charts, but it's not worth the price for just that.

If they offer me some kind of extra discount, I could change my mind.


Yea let me know when you cancel if they send you one of those "We want you back websman" emails...hahah

[IIC]

Well...now that my home computer seems to be somewhat back to normal...maybe I can relax a little.

Some of you HAD to know that I wouldn't be silent on this thread...LOL

As far as IBD Forums...IMO they are pretty much a waste of time...

BTW...I'm just curious...How many of you have been summarily BANNED at IBD Forums???

[mrmarket]

I think part of the frustration seen in the IBD Forums stems from the fact that people are paying for this service. The pay for the service and they lose money in the stock market, so they get testy.

Here everything is free. We are happy.

[dmk112]

Well...now that my home computer seems to be somewhat back to normal...maybe I can relax a little.

Some of you HAD to know that I wouldn't be silent on this thread...LOL

As far as IBD Forums...IMO they are pretty much a waste of time...

BTW...I'm just curious...How many of you have been summarily BANNED at IBD Forums???

I don't think that they are a waste of time... According to MM's poll, alot of the people came here from IBD. And I think there are a 'few' wise investors on the IBD forums, but not necessarily following CANSLIM religiously.

[IIC]

I don't think that they are a waste of time... According to MM's poll, alot of the people came here from IBD. And I think there are a 'few' wise investors on the IBD forums, but not necessarily following CANSLIM religiously.
Very 'few'

[Websman]

BTW...I'm just curious...How many of you have been summarily BANNED at IBD Forums???

After my last post and all the times I've posted a link for this site on the IBD boards I'm sure to get banned from posting. If not I'll try harder.

[mrmarket]

After my last post and all the times I've posted a link for this site on the IBD boards I'm sure to get banned from posting. If not I'll try harder.

Makes you wonder...if my site was so bad, why would they be so concerned about it???

[canaveraldan]

Hello all,
I just signed up this week. I found this HUGE site off the IBD forums. I'm new to investing so I'm climbing the learning curve asap. I've noted the same testiness on the IBD forums. Anyway I signed up to check out the HUGE stock picks. Wish I would have bought FDR yesterday morning.

My current positions are DHB, NTGR, ORCL, and SIRI.

My watch list is FRD, INOD, MANC, MIPS, ORBT, TRA, VDSI, WEB and XXIA
This list probable looks familiar. I think I'm too late on FRD and WEB.

I've been using the IBD site for the stock check-up ratings.

Comments?

Thanks
Dan McNerney aka Canaveraldan

[Websman]

Hello all,
I just signed up this week. I found this HUGE site off the IBD forums. I'm new to investing so I'm climbing the learning curve asap. I've noted the same testiness on the IBD forums. Anyway I signed up to check out the HUGE stock picks. Wish I would have bought FDR yesterday morning.

My current positions are DHB, NTGR, ORCL, and SIRI.

My watch list is FRD, INOD, MANC, MIPS, ORBT, TRA, VDSI, WEB and XXIA
This list probable looks familiar. I think I'm too late on FRD and WEB.

I've been using the IBD site for the stock check-up ratings.

Comments?

Thanks
Dan McNerney aka Canaveraldan

IBD is a good tool, but you are wise by keeping an open mind to all styles of trading. Because of this, you will surely be successful!

I sold DHB, but it still has great potential. I am currentely holding SIRI.

Welcome to the board!