2nd Downgrade in Months, page-32

I find the strategy of bringing one's average price down an interesting one. I've done it myself and it is quite satisfying if & when the price strengthens and you attain break even at a lower point to where you might have been had you not averaged down.

If you bought initially at $5, bought some more at $4, bought some more at $3 you might have a $4 average but if you spent the same amount each time you have 3 times the amount invested than you initially were prepared to commit. And you have it committed to a company experiencing challenges possibly big ones.

You don't hear much of people proudly saying - Hey I picked up some more CSL today and its really good because I bought my average cost up from $90 to $110. And yet it probably is the better strategy.