Mail Bag

May 28, 2004

• Best Way to Purchase Stocks

  Question (from Vernon K):
  I am a preimum member and since I usually work during the day I come home to find your email about purchases in the SelfInvestor.com Featured Portfolio. I would like to follow along with some of these picks, but find that many of these stocks have risen from the optimal breakout [...]

April 6, 2004

• A Bit About Me

  Question:
  I just read your reports for the 3 stocks you sent me.  You really have
  a gift for analyzing stocks. I can’t believe how easily you analyze
  them.  I am so jealous.  How long have you been doing this?  I keep
  learning and learning.  Going back to my books and looking up patterns,
  etc.. I am so happy owning [...]

April 1, 2004

• Price Targets, For the Most Part.. Are Worthless

  Question:
  Do you have a target price technique that you use as a rule of thumb?
  My Response:
  I don’t believe in price targets..at least those based on the fundamentals which is what analysts use to come up with price targets.  The only time I’m able to guesstimate a price target are at areas of technical resistance.    For example, if I purchase [...]

March 31, 2004

• Desperation Investing - Don’t Do It!

  Question:
  I have a question for you.  I know this isn’t an investment style that you
  will support.  However, I am desperate here to make my money back quickly so
  that I have a cushion for investing again.  I wanted to research the success
  of the strategy of buying New America stocks the day or eve of their debut
  and [...]

March 22, 2004

• Filling the Gap

  Question:
  What does "fill the gap" mean?  Does it mean it has no support there?
  My Response:
  It’s a good question.  Filling a gap  occurs as the gap fails to ignite further excitement to push the stock even further.  Traders
  see the lack of conviction in the gap and take profits and/or sell short.  Another important thing to [...]

February 15, 2004

• I’ve Lost My Confidence!

  Question: 
  Hi Tate,
  How are you doing investing?  I feel like I have lost my confidence and am having a hard time getting back into it.  We are primarily in cash right now.  I actually picked up AUO again on Friday.  After I saw it starting to climb and seeing the IBD article.  I originally had [...]