From: owner-canslim-digest@lists.xmission.com (canslim-digest) To: canslim-digest@lists.xmission.com Subject: canslim-digest V2 #3391 Reply-To: canslim Sender: owner-canslim-digest@lists.xmission.com Errors-To: owner-canslim-digest@lists.xmission.com Precedence: bulk Content-Transfer-Encoding: quoted-printable X-No-Archive: yes canslim-digest Friday, June 27 2003 Volume 02 : Number 3391 In this issue: [CANSLIM] Opportunity Cost Re: [CANSLIM] Opportunity Cost RE: [CANSLIM] Opportunity Cost RE: [CANSLIM] Opportunity Cost RE: [CANSLIM] Opportunity Cost Re: [CANSLIM] Opportunity Cost [CANSLIM] Opportunity Cost RE: [CANSLIM] Opportunity Cost RE: [CANSLIM] Opportunity Cost Re: [CANSLIM] Opportunity Cost [CANSLIM] Israel RE: [CANSLIM] Israel RE: [CANSLIM] Israel RE: [CANSLIM] Sidewall Breakouts ---------------------------------------------------------------------- Date: Thu, 26 Jun 2003 16:49:59 -0500 From: "Logan, Scott L." Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Thu, 26 Jun 2003 18:00:34 -0400 From: "Pritish Shah" Subject: Re: [CANSLIM] Opportunity Cost Yes, I do. However, I have come to this conclusion 1) Focus on my goal (yearly 20%) 2) See if I am meeting my goal 3) Do so many transactions that I forget which stock was it that I had = lost opportunity on :) 4) Seriously, stop looking at the symbols and count my luck that I atleast = made a profit. But then again -- I panicked out from STAA at 7.50 after buying at 6:50 = (damm) :(.. Regards, Pritish >>> slogan@gosafeguard.com 06/26/03 05:49PM >>> I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in my mind. Does any one else have a problem with letting go after selling a stock?=20 Emotions need to be excluded from the process... Thanks, Scott=20 - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Thu, 26 Jun 2003 17:08:33 -0500 From: "Katherine Malm" Subject: RE: [CANSLIM] Opportunity Cost Hi Scott, This used to be a problem for me, but several years ago, I buckled down and set a very clear set of guidelines for mining, buying and selling stocks. When I sell, I do a post analysis to determine what I did right and what I did wrong. That helps me continuously improve both my process and my execution and removes the emotional elements from the trade itself. At that point, the market knows and remembers nothing of what I did on the previous trade, so I figure both the pocketed money and the mental effort is best spent on the next trade. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Logan, Scott L. Sent: Thursday, June 26, 2003 3:50 PM To: 'canslim@lists.xmission.com' Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Thu, 26 Jun 2003 15:34:23 -0700 From: "Harold Josephson" Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, Do you buy only breaking out or likely to breakout stocks? Some time back, you mentioned VectorVest. How do you use it? Thanks Harold Harold Josephson Tel: 323.850.1333 Fax: 323.512.8968=20 hj@hjosephson.com - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 3:09 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Scott, This used to be a problem for me, but several years ago, I buckled down = and set a very clear set of guidelines for mining, buying and selling = stocks. When I sell, I do a post analysis to determine what I did right and what = I did wrong. That helps me continuously improve both my process and my execution and removes the emotional elements from the trade itself. At = that point, the market knows and remembers nothing of what I did on the = previous trade, so I figure both the pocketed money and the mental effort is best spent on the next trade. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Logan, Scott L. Sent: Thursday, June 26, 2003 3:50 PM To: 'canslim@lists.xmission.com' Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in = my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Thu, 26 Jun 2003 18:19:14 -0500 From: "Katherine Malm" Subject: RE: [CANSLIM] Opportunity Cost Hi Harold, Yes, as I am a purist CANSLIM investor when making long trades, I look for intermediate term bases and proof that the stock is breaking above the resistance at the pivot set for each particular style of base. I also buy on pullbacks when it's appropriate, as a pullback to logical support when technicals are favorable is a valid entry point as well. Over the years, this has proved to be an extraordinarily profitable methdology for me, so I know from experience that it works. I discontinued using Vectorvest for long positions last Fall after joining Mike Gibbons at cwhcharts.com. Though, until fairly recently, I was still using it for finding positions for shorting (not a CANSLIM methodology). As I've developed a methodology using paricular price action that is more than sufficient for finding candidates, I no longer need it for that, either. I used to use VV for mining for stocks, after beating it into submission for use as a CANSLIM mining tool. There, I'd look for particular technical action to determine whether the stock was showing some recent oomph to the upside. VV has a proprietary indicator called RT, relative timing, which acts as a summary proxy for technical action. If you can imagine a rubberband attached to a 13 week EMA, RT is an indicator that tells whether the price is above or below the EMA and how far it is stretched from that line. Values are then set from 0 = high velocity (stretch) to the downside, to 1 = neutral, to 2 = high velocity (stretch) to the upside. Unfortunately, VV doesn't contain actual fundamental data (they use proprietary proxies again), so it required that I use DGO for both preponderance of evidence fundamental evaluation and, at the same time for determining an entry point. The process that I used for determining fundamental health is now reflected in our site's CEF (Canslim fundamental evaluation score). Our methodologies at cwhcharts.com are significantly superior, as we don't use proxies for basing action, but instead use computer algorithms to search for actual basing patterns, so you can probably see why VV is no longer a necessary tool for me. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Harold Josephson Sent: Thursday, June 26, 2003 4:34 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, Do you buy only breaking out or likely to breakout stocks? Some time back, you mentioned VectorVest. How do you use it? Thanks Harold Harold Josephson Tel: 323.850.1333 Fax: 323.512.8968 hj@hjosephson.com - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 3:09 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Scott, This used to be a problem for me, but several years ago, I buckled down and set a very clear set of guidelines for mining, buying and selling stocks. When I sell, I do a post analysis to determine what I did right and what I did wrong. That helps me continuously improve both my process and my execution and removes the emotional elements from the trade itself. At that point, the market knows and remembers nothing of what I did on the previous trade, so I figure both the pocketed money and the mental effort is best spent on the next trade. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Logan, Scott L. Sent: Thursday, June 26, 2003 3:50 PM To: 'canslim@lists.xmission.com' Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Thu, 26 Jun 2003 20:56:04 EDT From: Chazmoore@aol.com Subject: Re: [CANSLIM] Opportunity Cost - --part1_10e.239ad8f0.2c2cf024_boundary Content-Type: text/plain; charset="US-ASCII" Content-Transfer-Encoding: 7bit Scott: Playing "what if" is as natural as breathing, and yes, most all of us have trouble letting go of that favorite stock. I find that it helps to list the key elements of my investment rules, starting with when and how I will exit a stock position. I then follow the rules as dispassionately as I can. It is not easy because it is counter intuitive. Good luck Charley - --part1_10e.239ad8f0.2c2cf024_boundary Content-Type: text/html; charset="US-ASCII" Content-Transfer-Encoding: quoted-printable Scott: Playing "what if"=20= is as natural as breathing, and yes, most all of us have trouble letting go=20= of that favorite stock.
I find that it helps to list the key elements of my investment rules, st= arting with when and how I will exit a stock position. I then follow the rul= es as dispassionately as I can. It is not easy because it is counter intuiti= ve.=20

Good luck

Charley - --part1_10e.239ad8f0.2c2cf024_boundary-- - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Thu, 26 Jun 2003 21:25:11 -0500 From: "Maria McAdams" Subject: [CANSLIM] Opportunity Cost Someone recommended to me a book entitled "The Psychology of Trading: Tools and Techniques for Minding the Markets" by Brett N. Steenbarger. Am presently reading "Reminiscence of a stock operator" the financial "classic" first written in 1923. Here's an interesting quote, so true still today: *"A stock operator has to fight a lot of expensive enemies within himself." Good luck, MLMcAdams From: "Logan, Scott L." > I just make a great gain on a stock after being out of the market for a > while. My problem is that the thoughts of "what if" keep popping up in my > mind. Does any one else have a problem with letting go after selling a > stock? > > Emotions need to be excluded from the process... > > Thanks, > Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 00:32:37 -0700 From: "Harold Josephson" Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, As always, thanks for the informative reply. How long is an intermediate term base? May I ask what data service you use to alert you to short candidate = price action, or in general? Real time? Can you point me to an example of a pullback to logical support and at = what point you might commit? Finally, anything you can say about short candidate mining techniques = that won't give away the store? Thanks Harold - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 4:19 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Harold, Yes, as I am a purist CANSLIM investor when making long trades, I look = for intermediate term bases and proof that the stock is breaking above the resistance at the pivot set for each particular style of base. I also = buy on pullbacks when it's appropriate, as a pullback to logical support when technicals are favorable is a valid entry point as well. Over the years, this has proved to be an extraordinarily profitable methdology for me, = so I know from experience that it works. I discontinued using Vectorvest for long positions last Fall after = joining Mike Gibbons at cwhcharts.com. Though, until fairly recently, I was = still using it for finding positions for shorting (not a CANSLIM methodology). = As I've developed a methodology using paricular price action that is more = than sufficient for finding candidates, I no longer need it for that, = either. I used to use VV for mining for stocks, after beating it into submission = for use as a CANSLIM mining tool. There, I'd look for particular technical action to determine whether the stock was showing some recent oomph to = the upside. VV has a proprietary indicator called RT, relative timing, which acts as a summary proxy for technical action. If you can imagine a rubberband attached to a 13 week EMA, RT is an indicator that tells = whether the price is above or below the EMA and how far it is stretched from = that line. Values are then set from 0 =3D high velocity (stretch) to the = downside, to 1 =3D neutral, to 2 =3D high velocity (stretch) to the upside. = Unfortunately, VV doesn't contain actual fundamental data (they use proprietary proxies again), so it required that I use DGO for both preponderance of evidence fundamental evaluation and, at the same time for determining an entry = point. The process that I used for determining fundamental health is now = reflected in our site's CEF (Canslim fundamental evaluation score). Our methodologies at cwhcharts.com are significantly superior, as we = don't use proxies for basing action, but instead use computer algorithms to = search for actual basing patterns, so you can probably see why VV is no longer = a necessary tool for me. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Harold Josephson Sent: Thursday, June 26, 2003 4:34 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, Do you buy only breaking out or likely to breakout stocks? Some time back, you mentioned VectorVest. How do you use it? Thanks Harold Harold Josephson Tel: 323.850.1333 Fax: 323.512.8968 hj@hjosephson.com - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 3:09 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Scott, This used to be a problem for me, but several years ago, I buckled down = and set a very clear set of guidelines for mining, buying and selling = stocks. When I sell, I do a post analysis to determine what I did right and what = I did wrong. That helps me continuously improve both my process and my execution and removes the emotional elements from the trade itself. At = that point, the market knows and remembers nothing of what I did on the = previous trade, so I figure both the pocketed money and the mental effort is best spent on the next trade. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Logan, Scott L. Sent: Thursday, June 26, 2003 3:50 PM To: 'canslim@lists.xmission.com' Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in = my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 08:33:35 -0500 From: "Katherine Malm" Subject: RE: [CANSLIM] Opportunity Cost Hi Harold, RE: "How long is an intermediate term base?" The distinction between short, intermediate, and long term time periods themselves is sometimes fuzzy. The most common descriptions are that short term is a few days to a few weeks. Intermediate term is a few weeks to a few months. Long term is longer than that. When it comes to intermediate term bases, this time period is very clear, however, as there are very specific guidelines for the typical bases we see. The shortest is the flat base at 5 weeks. Other typical bases are generally 6-7 weeks. Here are some notes that I've put together on CANSLIM-intermediate term bases (still handwritten, as my technical writer got married and moved to Idaho about 5 years ago): Some notes on types of intermediate term bases (Note, these are better viewed by downloading to your computer and then using an image viewer, as they are blown up beyond full screen size): http://www.cwhcharts.com/katherine/TypesOfBases.JPG http://www.cwhcharts.com/katherine/MiscBasesCharacteristics.JPG http://www.cwhcharts.com/katherine/CwHBaseCharacteristics.JPG http://www.cwhcharts.com/katherine/HandleCharacteristics.txt http://www.cwhcharts.com/katherine/High+StdHandleR1.JPG Notes on the basing process and technical signs of a healthy base: http://www.cwhcharts.com/katherine/BasingProcess.JPG http://www.cwhcharts.com/katherine/QualitiesGoodBase.JPG http://www.cwhcharts.com/katherine/TechWarningSignsBasing.JPG http://www.cwhcharts.com/katherine/HealthyRisingStock.JPG re:"May I ask what data service you use to alert you to short candidate price action, or in general? Real time?" and "Finally, anything you can say about short candidate mining techniques that won't give away the store?" I use spreadsheet calculations that I've set up based on price/volume action to find candidates, then use the alerts system available in Scwhab's StreetSmartPro to monitor action. Generally, all the same technical warning signs of failing basing action or failing action after a long or sudden rise are prime candidates for shorting. That means you can use all the same technical sensibilities you have developed on the long side to find short bait. As shorting is off topic for the CANSLIM list, I'll leave the discussion there. TradingMarkets.com is a terrific resource for short term techniques, both long and short. re: "Can you point me to an example of a pullback to logical support and at what point you might commit?" There are two prime candidates for pullback entries: (1) A stock which has recently broken out and has pulled back on light volume to within 5% of its original pivot. This can happen because the stock itself is pausing to gather steam for the next move up and/or because the market itself is pausing to gather steam. Those are generally good things to see after big runs up, because it shows sellers aren't that anxious to sell into the rise. (2) A stock which has been on a good run and is pulling back on light volume to a logical area of support such as an upward trend line, well defined by a channel (Tom used to call this a LLUR), or a stock that pulls to the intermediate term 50 day moving average on light trade. Generally, if its within about 5% of that MA, then it's prime territory. With pullback techniques, you have to be *very* good at reading the technical action of the stock and the market because you have to be able to distinguish between "benign" and "malignant" pullbacks when you take on this type of risk. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Harold Josephson Sent: Friday, June 27, 2003 1:33 AM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, As always, thanks for the informative reply. How long is an intermediate term base? May I ask what data service you use to alert you to short candidate price action, or in general? Real time? Can you point me to an example of a pullback to logical support and at what point you might commit? Finally, anything you can say about short candidate mining techniques that won't give away the store? Thanks Harold - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 4:19 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Harold, Yes, as I am a purist CANSLIM investor when making long trades, I look for intermediate term bases and proof that the stock is breaking above the resistance at the pivot set for each particular style of base. I also buy on pullbacks when it's appropriate, as a pullback to logical support when technicals are favorable is a valid entry point as well. Over the years, this has proved to be an extraordinarily profitable methdology for me, so I know from experience that it works. I discontinued using Vectorvest for long positions last Fall after joining Mike Gibbons at cwhcharts.com. Though, until fairly recently, I was still using it for finding positions for shorting (not a CANSLIM methodology). As I've developed a methodology using paricular price action that is more than sufficient for finding candidates, I no longer need it for that, either. I used to use VV for mining for stocks, after beating it into submission for use as a CANSLIM mining tool. There, I'd look for particular technical action to determine whether the stock was showing some recent oomph to the upside. VV has a proprietary indicator called RT, relative timing, which acts as a summary proxy for technical action. If you can imagine a rubberband attached to a 13 week EMA, RT is an indicator that tells whether the price is above or below the EMA and how far it is stretched from that line. Values are then set from 0 = high velocity (stretch) to the downside, to 1 = neutral, to 2 = high velocity (stretch) to the upside. Unfortunately, VV doesn't contain actual fundamental data (they use proprietary proxies again), so it required that I use DGO for both preponderance of evidence fundamental evaluation and, at the same time for determining an entry point. The process that I used for determining fundamental health is now reflected in our site's CEF (Canslim fundamental evaluation score). Our methodologies at cwhcharts.com are significantly superior, as we don't use proxies for basing action, but instead use computer algorithms to search for actual basing patterns, so you can probably see why VV is no longer a necessary tool for me. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Harold Josephson Sent: Thursday, June 26, 2003 4:34 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, Do you buy only breaking out or likely to breakout stocks? Some time back, you mentioned VectorVest. How do you use it? Thanks Harold Harold Josephson Tel: 323.850.1333 Fax: 323.512.8968 hj@hjosephson.com - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 3:09 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Scott, This used to be a problem for me, but several years ago, I buckled down and set a very clear set of guidelines for mining, buying and selling stocks. When I sell, I do a post analysis to determine what I did right and what I did wrong. That helps me continuously improve both my process and my execution and removes the emotional elements from the trade itself. At that point, the market knows and remembers nothing of what I did on the previous trade, so I figure both the pocketed money and the mental effort is best spent on the next trade. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Logan, Scott L. Sent: Thursday, June 26, 2003 3:50 PM To: 'canslim@lists.xmission.com' Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 09:39:11 EDT From: Chazmoore@aol.com Subject: Re: [CANSLIM] Opportunity Cost - --part1_49.304ff841.2c2da2ff_boundary Content-Type: text/plain; charset="US-ASCII" Content-Transfer-Encoding: 7bit Katherine: When can we expect you to bring all of your notes together in a book? I'll bet it would be a best seller. Charley - --part1_49.304ff841.2c2da2ff_boundary Content-Type: text/html; charset="US-ASCII" Content-Transfer-Encoding: quoted-printable Katherine: When can we ex= pect you to bring all of your notes together in a book? I'll bet it would be= a best seller.

Charley - --part1_49.304ff841.2c2da2ff_boundary-- - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 06:40:34 -0700 From: "Larry Worden" Subject: [CANSLIM] Israel Does anyone know of an Israeli biotech company that was talked about on this board over a year ago? Thanks Larry - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 4:19 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Harold, Yes, as I am a purist CANSLIM investor when making long trades, I look for intermediate term bases and proof that the stock is breaking above the resistance at the pivot set for each particular style of base. I also buy on pullbacks when it's appropriate, as a pullback to logical support when technicals are favorable is a valid entry point as well. Over the years, this has proved to be an extraordinarily profitable methdology for me, so I know from experience that it works. I discontinued using Vectorvest for long positions last Fall after joining Mike Gibbons at cwhcharts.com. Though, until fairly recently, I was still using it for finding positions for shorting (not a CANSLIM methodology). As I've developed a methodology using paricular price action that is more than sufficient for finding candidates, I no longer need it for that, either. I used to use VV for mining for stocks, after beating it into submission for use as a CANSLIM mining tool. There, I'd look for particular technical action to determine whether the stock was showing some recent oomph to the upside. VV has a proprietary indicator called RT, relative timing, which acts as a summary proxy for technical action. If you can imagine a rubberband attached to a 13 week EMA, RT is an indicator that tells whether the price is above or below the EMA and how far it is stretched from that line. Values are then set from 0 = high velocity (stretch) to the downside, to 1 = neutral, to 2 = high velocity (stretch) to the upside. Unfortunately, VV doesn't contain actual fundamental data (they use proprietary proxies again), so it required that I use DGO for both preponderance of evidence fundamental evaluation and, at the same time for determining an entry point. The process that I used for determining fundamental health is now reflected in our site's CEF (Canslim fundamental evaluation score). Our methodologies at cwhcharts.com are significantly superior, as we don't use proxies for basing action, but instead use computer algorithms to search for actual basing patterns, so you can probably see why VV is no longer a necessary tool for me. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Harold Josephson Sent: Thursday, June 26, 2003 4:34 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Katherine, Do you buy only breaking out or likely to breakout stocks? Some time back, you mentioned VectorVest. How do you use it? Thanks Harold Harold Josephson Tel: 323.850.1333 Fax: 323.512.8968 hj@hjosephson.com - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com] On Behalf Of Katherine Malm Sent: Thursday, June 26, 2003 3:09 PM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Opportunity Cost Hi Scott, This used to be a problem for me, but several years ago, I buckled down and set a very clear set of guidelines for mining, buying and selling stocks. When I sell, I do a post analysis to determine what I did right and what I did wrong. That helps me continuously improve both my process and my execution and removes the emotional elements from the trade itself. At that point, the market knows and remembers nothing of what I did on the previous trade, so I figure both the pocketed money and the mental effort is best spent on the next trade. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Logan, Scott L. Sent: Thursday, June 26, 2003 3:50 PM To: 'canslim@lists.xmission.com' Subject: [CANSLIM] Opportunity Cost I just make a great gain on a stock after being out of the market for a while. My problem is that the thoughts of "what if" keep popping up in my mind. Does any one else have a problem with letting go after selling a stock? Emotions need to be excluded from the process... Thanks, Scott - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 09:02:39 -0500 From: "Katherine Malm" Subject: RE: [CANSLIM] Israel Hi Larry, Both TEVA and TARO are Israeli based generic drug companies. Those are the two that come to mind that have been in discussion here, though they aren't biomeds. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Larry Worden Sent: Friday, June 27, 2003 7:41 AM To: canslim@lists.xmission.com Subject: [CANSLIM] Israel Does anyone know of an Israeli biotech company that was talked about on this board over a year ago? Thanks Larry - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 07:10:31 -0700 From: "Larry Worden" Subject: RE: [CANSLIM] Israel Thanks, The stock was TARO. I see it is not biotech. Larry - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Katherine Malm Sent: Friday, June 27, 2003 7:03 AM To: canslim@lists.xmission.com Subject: RE: [CANSLIM] Israel Hi Larry, Both TEVA and TARO are Israeli based generic drug companies. Those are the two that come to mind that have been in discussion here, though they aren't biomeds. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Larry Worden Sent: Friday, June 27, 2003 7:41 AM To: canslim@lists.xmission.com Subject: [CANSLIM] Israel Does anyone know of an Israeli biotech company that was talked about on this board over a year ago? Thanks Larry - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ Date: Fri, 27 Jun 2003 09:34:16 -0500 From: "Katherine Malm" Subject: RE: [CANSLIM] Sidewall Breakouts Hi Dave, I was intrigued with your comment, so took a bit of time scanning stocks in my spreadsheet. As there are so many stocks in great technical condition, I had to narrow it a bit to get a sampling, so focused on strong stocks that were new IPO's in the last 8 years. What I observed was that nearly all of these stocks had formed sound bases, but formed handles very, very close to the midpoint of the cup before they bolted. I think what that really enforces is the notion that one really has to be on top of basing stocks *as* they're basing, particuarly at the very beginning of a fresh rally, as hesitation there will leave you in the dust. One of the sensibilities I picked up from years of using VectorVest is that you really have to be ready to play the direction change in a market. I think that's especially true for CANSLIMers, as our chosen spots are so well-defined. It wouldn't surprise me at all to see all of these strong stocks pull back and form fresh bases right here. That would actually be a good thing for overall market health. Katherine - -----Original Message----- From: owner-canslim@lists.xmission.com [mailto:owner-canslim@lists.xmission.com]On Behalf Of Davellil5@aol.com Sent: Thursday, June 26, 2003 10:47 AM To: canslim@lists.xmission.com Subject: [CANSLIM] Sidewall Breakouts In this market, I've been noticing a large number of stocks that have experienced one or more high-volume breakouts, some of them upgaps, along the right sidewalls of cups. In most instances, there were no handles prior to the breakouts. None of those stocks would have been bought on those occasions under the WON system. Yet, they seem like lost opportunities for gain. On reflection, it doesn't seem far-fetched to reason that, in a period of recovery from a bear market, investors are less likely to wait for full develpment of bases, but take positions at earlier stages in the recovery of individual stocks. Moreover, isn't it likely that several breakouts along the right wall of a cup increase the likelihood that a "real" WON breakout (after completion of cup and handle) on such a stock will be followed by a correction or even collapse, with the investor who buys on the WON breakout getting whipsawed? Does this explain some of the post-cup corrections, of which we've seen so many? Anyone else observed this phenomenon? Regards,k Dave - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. - - - -To subscribe/unsubscribe, email "majordomo@xmission.com" - -In the email body, write "subscribe canslim" or - -"unsubscribe canslim". Do not use quotes in your email. ------------------------------ End of canslim-digest V2 #3391 ****************************** To unsubscribe to canslim-digest, send an email to "majordomo@xmission.com" with "unsubscribe canslim-digest" in the body of the message. For information on digests or retrieving files and old messages send "help" to the same address. Do not use quotes in your message.