afr article says cbh is rocking, page-5

re: now looking at 5 mines conquestsilver,

For a stock which is in a mid-long term up trend, sell-high-buy-low will always give you some extra bonus. But never sell off all your holdings. I have been using the following approaches for the last few years,

1. Determine the percentage of the shares I bought as core holdings. Say 40%
2. Then, use the 60% of my holdings for short-mid term trades.

The percentage varies depending on the stock itself and, more importantly, the market sentiment.

In the current market conditions, particularly in the last few weeks, I only keep no more than 30% as core holding, but trade the rest while the price is up.

It works better if you apply the rule to a couple of stocks perfolio.

While in a market condition like last year or the year before last, I at least keep 50% of my shares as core holdings.

Of course, it is almost impossible to buy at the very top, and buy back at the very bottom, as far as the the price gives me a reasonable overlap, I am happy.

I also hold ARQ which is one of the 5 worst stocks in 2006 nominated by "Smart Investor" magazine. But by keeping only 20% of my holdings as core, I still make quite some profit this year.

I'd like to see if anyone has any other ideas, practice.