Prudent Investing as I see it...

"When somebody buys a stock it's because they think it's going to go up and the person who sold it to them thinks it's going to go down. Somebody's wrong."

If someone actually has read most of my previous posts one thing should have become obvious- I am not afraid to sell my positions quickly if something changes my view about a particular stock or sector but in other cases when I believe market is overreacting I simply stick with a losing position and even double down several times if necessary. No one out there is always right or wrong so there is little reason to be stubborn either way...In my latest post I stated that I have no intention whatsoever of stepping into the dangerously reckless "double or nothing" game just so I can win this contest and I will stick with this promise...Instead of chasing bubbles I'll now go back to the usual staff- stating my opinions on various things.

Over the course of the last several months I have received numerous e-mails from fellow posters asking me to explain in more detail why and how do I pick stocks. So, while trying to refrain from boring people to death in the next several posts, I will to try to explain my investing philosophy to anyone who is interested. Remember this is just my personal way of doing things- and while it has worked for me very well so far- there are numerous ways to be successful in investing and the key is to never stop learning...

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by Neil DeFalco |  12/10/07