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Odessa99

12/02/11 10:55 PM

#11029 RE: codie #11028

If making money in stocks were as easy as projecting the historical chart trend outward into the future, stock picking would be a science and not an art. A famous, wealthy investor once said that a stock will continue to go down, until it doesn't. And a stock will continue to go up, until it doesn't. A recent example of the latter is NetFlix. It did nothing but go up throughout all of 2009, then all of 2010, and then the first half of 2011. Making money on that stock seemed like a no brainer, simply buy at any time. After all, how could one lose on a stock that only goes up. The answer is, by buying just before the trend changed. Some very unlucky people paid between $200 and $305 for NetFlix. Actually, it was everyone who bought the stock between Feb 1, 2011 and Sept 1, 2011. That stock is now about $66 per share. That investment is down about 80% (down $239 per share) for those that bought at the absolute top, and down 66% (down $134 per share) for those that faired better and only paid $200 per share. They made the classic mistake of buying a stock that only went up (a darling of wall street) for a full two and one half years, expecting that a chart trend must continue in the same direction. As I stated with regard to my Sirius windfall, my investing methods are a bit more sophisticated. Just as NetFlix reversed a long standing uptrend, Muscle Pharm can and will reverse it's long standing downtrend. I can not tell you when that moment will occur, but I am confident that it will. Brad and Cory will make millions from that stock trend change, and I will likely net a more modest six figure gain, as I did with Sirius/XM. Just my opinion, as always.