Earlier today, in the midst of the continued market correction, my recent purchase of Movado (MOV) was 'undone' and I sold my 210 shares of MOV at an average price of $29.57.  I had literally purchased these shares just days ago on 12/11/07 at a cost basis of $32.14.  Thus, I had a loss of $(2.57) or (8.0)% since purchase.  The 8% level is the loss point which triggers a sale (I use a 'mental stop' and do all of this manually) of a stock after an initial purchase.  It doesn't really matter to me how long I have held a stock, how much I like this stock, and whether I think it is the stock market, the stock itself, manipulation in trading, or the price of tea in China.  A signal is a signal and out it went.

Furthermore, with a sale on 'bad news' like this, I do not have permission to add a new position to replace Movado.  I have to 'sit on my hands' and stay at what now amounts to a portfolio level of 12 positions (below my maximum of 20 and above my minimum of 5).  I shall be waiting for some 'good news', whenever that may come, to add a new position.  By this means, my portfolio moves in a more-or-less 'automatic' fashion towards cash and away from equities as the bear growls on Wall Street!

With my own sale of Movado, I am reducing my rating:

MOVADO (MOV) IS RATED A HOLD 

Thanks so much for stopping by and visiting!  I wish I had something more encouraging to greet you with than another gloomy sale.  But investing is both about making money in a bull market and preserving your assets during corrections.  I work at both of these and shall share with you the results of my efforts---whether they be successful or less than stellar.