Replies to post #39186 on A.I.M. Users Bulletin Board (AIMUSERS)

[OldAIMGuy]

Hi Toof, Re: Biotech Sell..................

Nice move!

It's hard not to have liked the Biotech sector for the last three years.

For much of that time I've been controlling the cash buildup with
'vealies' as you can see in this image. Each of those short vertical
marks was a decision point where I compared the then current cash level
to the level recommended by a certain Market Risk Indicator. At each of
these inflection points the indicator said I had enough cash on hand for
the perceived market risk at that time. As you can see, one of those
decisions was just made this week.


(2 buys, 11 sells and 16 'vealies')

There have been only two buys in the display shown. Those were the only
two times that AIM would have allowed any expansion in the level of risk
allowed by the investment. The use of the 'vealies' have allowed more
shares/money to remain in the market for a longer time than AIM BTB would have
allowed. I don't have as much cash on hand as BTB would have generated,
but the account has still managed to secure a healthy 27% total cash and
associated profits.

Trailing stops as you are using them do a nice job of keeping things
moving and adding more downside protection. They do require a bit of
extra work but that should be nominal. Congratulations on the successful
execution.