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The Grabber

01/26/10 10:43 PM

#31374 RE: Alton #31373

Hi Alton.

I've been sitting here reviewing charts and looking for alternatives other than AIM. As much as I would like to trade, I just can't determine a more stable and lower risk method than AIMing (business building over time).

Well there is always LD-AIM.

Lower Risk in that your capital at risk is lower for the same potential realized gain benefit than classic AIM.

Remember, if you go back through Lichello's original 10-8-5-4-5-8-10 cycles you will note that those original 500 shares are never sold (on a LIFO basis anyway).

So the question becomes, why buy it? That initial position serves as nothing more than a placeholder for the initial Portfolio Control value. Only actually buy shares you're likely to Sell on a 3-5 trade Sell trend, then let the other shares be virtual.

And for those that might note the trading versus investing aspect of LD-AIM (which will let you Sell Out); I have some LD-AIM programs that have been active for 7 years. Or they are very active and produce many profitable round trips and accumulate significant shares along the way.

For example:
AXAS (formerly ABP) started in October, 2005 with a 2:1 Virtual:Actual ratio. So my Capital at Risk going in was one third of what Classic AIM would have been.
I have had 20 subsequent Buys and 16 Sells.
I now own more than 11 times the initial Actual purchase.
The current price is about one half the initial purchase.

All FWIW.
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Toofuzzy

01/26/10 10:53 PM

#31375 RE: Alton #31373

Hi Alton

>>>>> I just can't determine a more stable and lower risk method than AIMing (business building over time).<<<

Neither can I

I like that it takes the emotion out of investing.

Toofuzzy
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JDerb

01/27/10 10:30 AM

#31378 RE: Alton #31373

Hi Alton..

AIM is boring. That's ok for as one of my favorite quotes says: 'Many a trader fears boredom more than loss, thereby experiencing the two in sequence.'

Regards,

Jon