Replies to post #257 on The "Stock Trading Riches" Investment Sy

[OldAIMGuy]

Hi L, Re: your history example................

I like seeing the price/share at $16+ sixteen years later when you start consistently making money - when the account started with a price/share of $38+. In fact the system created a profitable return through downward averaging even though Mr. Buy and Hold would have suffered over a 50% loss on share price.

Buying into weakness can be agonizing with individual company stocks, but ETFs are far less likely to fail completely. Selling into strength may seem less logical, but to prepare for subsequent cycles, one needs to fund the cash reserve position with profitable selling.

Thanks,