Thursday, November 8, 2007

Wow, it's been crazy huh? But don't go crazy. Keep your head. Breathe.

So let's reiterate some rules to ourselves.

1) We are investors. Think of the long term. When you buy, don't look at is as how much I'm spending but rather, how much I'll be making.

2) Be disciplined about adding to your position. Sustained market crashes are a good thing. It allows investors to get in at great prices. But be good about it. Set your ideal price and wait for it. If you don't get it... you don't get it. No biggie.

3) Keep a portion of your stocks for the long and if you have the urge to sell. Keep a portion for the short. Keep a trade a trade and an investment an investment.

AAPL (Apple) - I own it. I use it. I love it. Their product has effectively changed my life. Add to it with every $10 drop. I'm willing to go 3x on this if the price is right.

AEO (American Eagle Outfitters) - I'm not a fan of AEO however I love what TMP has on it. I'll add to my current position but 1 unit MAX!

AMD (Uh... AMD) - Not looking so bright right now but now is not the time to get out. sell around 13ish.

ARNA (Arena Pharmaceuticals) - I love this stock. I think they will do amazing in the future. Just gotta wait it out Big Time. This is a Buy and Trade stock.

BWLD (Buffulo Wild Wings) - Triple Pick but very volatile. I will have 1/2 invest and 1/2 for trade.

EMC (VM Ware) - VM Ware is all I have to say. Anything that allows companies to be more efficient and save a ton of money is worth it. I'm going to add to my position as it goes down.

ISV (Insite Vision) - Showing profit! They are doing well and will continue to grow. It's product costs the same and is more effective. It's worth it. Hold but do not add anymore.

LOOP (LoopNet) - Triple Pick. I think the lesson learned is that you have to be disciplined about keeping a trade a trade. I've always had long term shares for this bad boy but after hitting 24 and rocking 16.5 today... You learn about it. Like BWLD, 1/2 hold and 1/2 trade.

PANL (Universal Display) - Now I stuck to my guns on this one and its doing great for me. Sold my trader shares at 19 and waiting for it to hit 14.5 again.

PRAA (Portfolio Recovery) - I wasn't disciplined about adding to my position. But it may have hit a bottom. The great news is that it's a stock that really feeds off the sub-prime and debt crisis.

SBUX (Strabucks) - Wow... I really don't know about this one.

EBAY - I really have no choice but to hold. Hope the holiday cheer helps this one.

CRNT
- Hmmm... Hold for a while and see what happens. It blew the doors off earnings and hit 21 but dropped hard. Typical short term peak.

VMW - Big Drop recently. I'm going to hold and see where it settles and then add to my position.

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OVERALL STRATEGY
- The Market will be choppy for the next year until the economy gets it's feet underneath itself. So definitely keep long termers but for me, 1/2 of my shares will be trader shares that will go with the ebb and flow of the market.