exploration and risk equal lyc. not., page-28

My thoughts on the matter of the "top up dilemma" - is use TA to time the buy and sell and the FA to decide if to buy at all.

Under this procedure the question is not whether LYC is a good company but when is it worth a punt on a long position? The FA on LYC looks Ok if we ignore the protests etc. But the TA says don't take a long position yet IMO!

Our problems occur when TA and FA do not agree and we don't follow the TA to keep our capital safe. It is too easy to decide on the basis of FA to average down at the wrong time and amplify losses.(I've made that mistake in the past.)

But this is also a matter of choice - take higher risks for possible higher gains or losses or be less greedy and wait for a safer entry and maybe sacrifice some gains for the greater certainty. Good luck whatever you decide to do. :)