Replies to post #38511 on A.I.M. Users Bulletin Board (AIMUSERS)

[SFSecurity]

Hi Toofuzzy,

If you use AIM, you do not need to concern yourself with predicting market direction and stuff like this.

True enough in a way, but for me, much like when I'm driving, I like to avoid chuckholes as it is bad for the suspension.

The analogy in the market that I see is if there is a reliable pattern that has been tested by others and seems to fit what I see going on then maybe I need to slow down to keep from having to recover from a bigger draw down. That old demon of a 25% loss requiring a 33.33% gain just to get back to where you were can be rather convincing. Delaying a buy on the way down can generate better profits on the way up so does it make sense to do this? Possibly. Following this advice might be very wise.

We know from Tom and others' tweaks that BTB AIM is excellent but can be made a bit better. Even Lichello tweaked it a bit as he wrote various editions of his magnum opus.

Also, look at Is7550's post #37902 where he quotes Credit Suisse about being counter-cyclical to reap better returns, just like AIM does. And since we know there are business cycles on a reasonably predicable basis it seems foolish to ignore history and not follow Albert Einstein's advice.

Warmest Regards,

Allen