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Re: SFSecurity post# 39165

Tuesday, 03/17/2015 6:53:02 PM

Tuesday, March 17, 2015 6:53:02 PM

Post# of 47248
Hey Allen,

Using an 80/20 ratio can be tight depending on entry price in a downward trending market. That's one of the reasons I try to be disciplined and wait for Mr. Market to push down good companies and/or indexes 30 to 35 below recent 2 year high. OXY for example had a high withing last 2 years at around $98.84 so my first entry will be in the $65.00 range if it triggers that low. If I can enter at that level or below, I'm usually good for 2 additional sequential buys when using 80/20 and graduating percentage as price trigger identifier. Otherwise, you may need to consider a 70/30 or 60/40 ratio. Thanks for the SFGate.com alert, I'll check that out!

Best, Alton
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