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leemalone2k3

05/05/07 12:41 AM

#240129 RE: Chowme Demoney #240127

When FCAH split into FCDH, I was down about $4,000. During the Summer of (2005 post split), I was able to flip it as it dropped from .19 to where it sits now and recoup my losses, take a profit, and hold onto almost 14M free shares which I sold at .0012-.0009 area during the last big move.

Anyone that plays the pinkies should learn to recoup your initial investment as quickly as possible, so as to reduce the stress that comes from the day to day movement of the stock. I rarely hold free shares for any long amount of time, though, because of the drawdown involved. Look at it like this. If you sell a stock to break even and hold shares, you have reduced your cost to zero. However, your remaining shares still have value. If you do not sell these shares at the proper time and your profit slips away, you are losing money. You should NOT look at it like you are playing with THE BANKS money even if you recoup your inital cost. It is YOUR money and declining prices is still drawdown.