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Jim (cont'd):  

When any stock goes up so far so fast… you have got to ring the register… take something off of the table… you should take some profits in the casinos while you still have them… I think that it would be responsible to sell most of your original investment if you bought these stocks at roughly the price where I said they were okay to speculate in after leaving the sell block… leave enough on so that you are playing with the houses money… meaning you are only risking the gains that you have already made.

Now, back on February 5th I told you that I thought that you should sell most of the online education names, especially Apollo Group(APOL) which is down 18% since… Strayer(STRA) another one that I told you to sell is off 19.4%… while the Dow is only down 1.1%, and S&P down 1.2% same period… while the one online education name that I have embraced… American Public Education(APEI) is up 25% since I recommended it on January 9th… vs. a 7.2% decline in the Dow, and a 6.2% decline in the S&P… if you don’t take some APEI off the table, you are being greedy… and bulls make money, bears make money, and hogs get slaughtered… you are liable to get slaughtered.

And one more piece of housekeeping… when it comes to selling… last week I told you that I thought you should sell your Sun Microsystems during the Lightening Round… and keep Neuro Posha… that once a stock has already gotten a take over bid, you have got to take profits… we are not arbitragers… we do not fool around with takeovers… once they have been announced… if you tried to be one, well you lost 22.7% today… as Sun’s Board of Directors unbelievably turned down IBM’s generous take over offer.

The bottom line…

 

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The Bottom Line!:     Sometimes you just have to take a victory lap and realize that my sell calls are at least as important, if not more important than my buy recommendations… the sell block matters, as people who sold Apollo or bought MGM Mirage, Las Vegas Sands, and Wynn can tell you... Pay attention to my Sell Block & don’t be afraid to take profits or realize when you’ve missed a move.