Friday, December 30, 2011

Supply/Demand of Securities

Never buy securities on the basis of public recommendations. Thousands, maybe hundreds of thousands, are receiving the message at the same time or may have gotten it earlier than you. That same advice.

Remember the effect of everyone acting at once. And the law of supply and demand. That law will be working against you when everyone acts on the same news at the same time. (See the Earl J Weinreb NewsHole® comments.)

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