Until we see some panic selling, my purchases will be modest. But we will layer in as prices depress.
When last we visited Baidu.com (BIDU), it was up 36% in 5 weeks so I was selling @ $377 on May 7th [Bookkeeping: Cutting Most of 3 Positions on Huge Runs]. Usually we don't nail things that perfectly but essentially the top was in. I've been buying very small lots ($3K or so) in the $320s but here at $305 I'll make a bit larger buy, so we've retrieved our sold shares for a 19% discount in about 7 weeks. The stock is now at its 200 day moving average, a key support level. If this breaks, it could free fall, so I'd look to add shares in the $280s (April lows), and if that does not hold $220s-$240s (late winter lows). The farther it drops the larger the buys will become. For now, just increasing Baidu.com to 1.5% of portfolio.
At this point, I'd rather start buying this type of merchandise that is already on sale, rather than the commodities, most of which are nowhere near any support level. Waiting for more fear in a general sense...
Long Baidu.com in fund; no personal position
Via Fund my Mutual Fund:
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