Tuesday, October 13, 2009

instinct override:

CHIO earnings came out and despite the now bullish chart, I didn't like the chatter of the people I follow.  This one has always kind of bothered me -- I hate companies that burn cash.

So I sold the whole thing.  I think I made a little bit overall... breakeven at worst.   Like I said, the chart is good but I am skittish so I decided to look elsewhere.  I feel better about names like NEP and even APWR which I don't even have a big position in.

Now -- see -- this is the problem with being a follower and not a leader.  I really don't know what's up with CHIO.  Is it good or not?  I never made a clear plan.  I guess what I saw was -- the ER came out today.  It seemed good, but some people had some questions regarding 'quality of earnings' and meanwhile - the stock is only up 1% for the day -- and the past 6 months have sucked while everything else has been running up.  Is it appropriate to bail out on a gut feeling?  It's not what Buffet would do.  I'm no Buffet for sure.

 I follow a lot of other people's picks.  That's my strategy. I'm 100% responsible if the stocks I pick fail.  I never blame the guy I was following.  So if I decide to bail out -- that's my decision too.  The good thing for CHIO holders is that I'm wrong a lot more often than I'm right.  I'm dumb money.  (Just having a decent year :)  So I move on.

Today the market was mixed but I still made money (again!) this time thanks to CKGT, CIWT --- and that's about it really.  But those two were good enough.

 I added NEP and APWR today.  (Neither did much.)  I feel more comfortable with those names.  I've followed them longer.  I also feel much more comfortable with big board stocks, even though I've probably made most of my profits this year in .ob stocks.    Well -- it's been another fine day.  And good day to you, sir.

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