Replies to post #34019 on A.I.M. Users Bulletin Board (AIMUSERS)

[Adam]

Hi Clive and Tom, Using %PC on the buy side as a min, increases the min size of the buy and delays the buy (it requires a larger drop in stock price). So in a stock that is dropping you end up buying shares at a lower price.

I agree that AIM by-the-book buys stock shares too early when the stock drops.

Adam

[OldAIMGuy]

Hi Clive, Re: %PC or %SV or ???.............

By using % of Portfolio Control as the minimum $$$ for trading on the Buy side keeps the target fixed on one's sites during declining markets. Also, because Portf Control goes UP after a buy, this method adds just a small amount of extra resistance to AIM's next Buy recommendation.

The use of % of Shares for selling just keeps AIM ticking along as we would expect. Since Portf Control isn't changing as we sell, there's no specific change realized. It's simple enough to eyeball the # of shares and know what one's minimum should be on the Sell side.

BTW, both Brian Johnson and his wife are pretty good race drivers. Brian had a Lotus Cortina he raced. The only evidence of who was at the wheel was a very small AC/DC logo on the very back of the car. At Watkins Glen one year another identical Lotus Cortina showed up and these guys, to honor Brian, had "AM/FM" in the same script and font as his car in the same location! Good fun!

Best regards, Tom