[Sniper]

[ QUOTE ]
If new information leads you you re-estimate the stock's value at what it's trading at or less, then you sell it immediately, no matter what you paid for it. Waiting for your stop loss won't help there.

If you believe in fundamental analysis, your fundamental evaluation of the stock's true value should guide all of your buy sell decisions, not some mechanical sales rule. In that case, using stop losses will usually hurt your results, forcing you to sell positions when they are at even bigger discounts to true value.

[/ QUOTE ]

Cat,

This was exactly my point in the other thread... for fundamentalists, stops (exits) are based on value (a change in your you value calculation, that no longer makes the investment worthwhile) , rather than on technical criteria.