ET. Tom wrote:
If after tinkering with PC, it is still the best opportunity for your money to grow, then restarting the account may be the option you want.
I agree generally what Tom already said but I might repeat my earlier version on this:
1) at any time anyone should only own stock that is worth owning. Clearly to own stock that is not worth buying is a signal to sell it(anyway you want to sell is good).
2) If for various evaluation reasons the stock is a good one at the low price, then it does not matter that it has dived, for the stock is a good stock and worth owning. Then you should keep it(unless it has no volatility).
3) At the low price the AIM opportunities are identical as before. Depending on the expectation for the price behaviour, you should(are advised) to retain the PC as it was if you have been buying all the way down. This will result in selling as the stock rises in a proper way.
40) (??? I forgot the other 36 points). Anyway, if on the dive you have not been buying there is a strong outstanding Buy Signal and if the stock is worth having you simply go for the Buy, either with the cash you have or with money you borrow. It is as simple as that. It is always a good thing to buy more good stock at any price!!!!(Many people will refuse to understand this-ask me about it!).
The reason behind this is that the outcome of the evaluation for the worthiness of the stock lies in its current price(among other things). Fooling around with the PC will(generally) create a mismatch with respect to the normal AIM situation. Exceptions for alternative action are usually only justified on the basis of peculiar specific circumstances(not definable).
Conrad
