Over the years I have received numerous comments that popularity with the Fool's on Motley Fool or the bigger fools on Wall Street should not be taken into consideration in investing decisions -- I think they do. Although popularity might not make a stock, I think negative sentiment can hurt it in the short run. Just look how a positive earnings report with a growth in both sales and earnings can make a stock go down just because the company didn't meet the expectations of all those inexperienced recent MBA graduates that Wall Street employs.
Here is my reply to John:
John - If you've followed my articles over the year you'd know that I do not buy because of public opinion on Motley Fool or because Wall Street brokerages have buy reports.
I find stocks based on my use of Barchart and the stock's price movement. I buy in the hopes that the upward trend will continue.
I use Motley Fool and Wall Street as a reality check. If I see a stock moving up but the Fools and brokerage firms are all trashing it, I would be a fool not to think that there would be major upside resistance.
Remember the title of my blog original blog was Financial Tides. I would be a fool to swim against the tides and buy a stock if the Fools and brokerages firms were all bailing out.
No comments:
Post a Comment