I consider myself an above average stock picker. I try to do a lot of research and find strong companies. Something I struggle with is when to sell. Many sources, such as The Market Guys, advise adopting a hard and fast rule and stick with it. They advise selling a position when it will cause your overall portfolio value to fall by 10%. This seems sound, but I tend to think it takes decision making out of the equation. Other sources base sell decisions solely on the fundementals or technicals of that specific investment. Myself, I use the 200 moving average as a rough guideline. I absolutely will sell if the stock drops 15% below the 200 moving average. I will also sell if my follow up research highlights something very ugly. What does everyone else do to decide when to dump a stock?
Archive for the ‘Stocks’ Category
When to Sell
Posted in Stocks on April 21, 2007| 10 Comments »
CNBC Squawk Box Challenge (Technical Difficulties)
Posted in Stocks on April 4, 2006| 11 Comments »
I guess the fine people over at CNBC underestimated the interest their challenge would generate. Their servers must have been crashing, as I was unable to make my initial buys for over two hours this morning. Did other folks have technical difficulties? Also, what did everyone think about the game once they were able to finally log in?
On a side note, I guess I should talk about the challenge periodically until it closes. So far today, I am at 542 page views (a record day for sure).
Maserati GranSport here I come.
CNBC Squawk Box Fantasy Challenge
Posted in Stocks on March 28, 2006| 18 Comments »
CNBC is giving away a Maserati GranSport in their Squawk Box Fantasy Challenge. I am not sure I could even get insurance for this 180 MPH monster, but I have entered the contest anyway.
The contest starts April 4.
Enter by clicking here: http://www.sbfantasyportfolio.com/
Barr Pharmaceuticals Added to SP500
Posted in Stocks on February 23, 2006| Leave a Comment »
This company who makes generic drugs as well as Seasonale oral contraceptive and Plan B emergency contraceptive is one of my stock holdings. Yesterday, after the market close, it was announced that Barr Pharmaceuticals (BRL) would be added to the SP500 replacing Scientific-Atlanta. This is real good news and makes the stock an option for institutional buyers. Rumors are circulating that the stock may split too which is also good. Today, the stock finished up 3.31%.
MasterCard IPO
Posted in Stocks on February 16, 2006| Leave a Comment »
What is everyone thinking about this launch in the 2nd quarter?
Plusses: A top ten brand in the entire world, more and more electronic transactions means more and more revenue for Mastercard, Mastercard is accepted in over 23 million locations worldwide. Great (priceless) commercials. Was a truly global company, before being global was cool.
Minusses: A quarter of the IPO proceeds will go to fund ongoing litigation. Going against giant retailers like Wal-Mart in court.
I think I am a little higher on the plusses.
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