InvestorsHub Logo
Followers 4
Posts 233
Boards Moderated 0
Alias Born 06/19/2014

Re: George the Greek post# 1763

Wednesday, 10/15/2014 4:59:03 PM

Wednesday, October 15, 2014 4:59:03 PM

Post# of 3876

The FA and the TA are so incongruous.


They often are.

This constitutes a troubling dilemma
these days for stockholders.


Not if you know what you are doing.

Holding, and hope a squeeze comes -
sooner rather than later.


Hope is not an investing strategy worth pursuing. ;)


Ben Graham, the father of security analysis and value investing, described what is happening a long time ago when he said that in the short term the market is a voting machine while in the long run it is a weighing machine. If you examine the charts of volatile stocks you'll notice that 50% drops are quite common. I don't recall the details but in this book, The Gorilla Game, Geoffrey Moore explained how that 50% drop comes about.

The difficulty is that sometimes the 50% drop is warranted and if you hold in those cases you get your head handed to you on a platter. This means that to be long you have to know your company. Nonsense like the latest Sharesleuth hit piece can be safely ignored. It had nothing new about Kandi but a lot about the KNDI touts. Touts and pans are just noise, the motive force behind the short term "voting."

Of course it's painful to see your favorite stock go down but just look at any stock chart and you'll see that no stock is an escalator to financial heaven. If it pains you too much, likely your position is too large.

Denny Schlesinger
 





Volume:
Day Range:
Bid:
Ask:
Last Trade Time:
Total Trades:
  • 1D
  • 1M
  • 3M
  • 6M
  • 1Y
  • 5Y
Recent KNDI News