Red herring ? You bet!

Was thumbing through a few old issues ( from late 2000, early 2001 ) of Red Herring, Wired etc recently as part of cleaning up my room. What a strange feeling reading about valuations and views on valuations.

This reading of crazed behavior during boomtimes is a good habit to help one from getting too confident about stock-picking skills. Confidence and over-confidence work against you.

From a 2001 issue I read something along these lines - EMC is today at $62/share, down from $270/share. At these prices it is a great bargain. etc etc.

A couple of years later, EMC was trading at $8/share and I can hardly remember any piece touting EMC as a bargain! I started buying around $10 and will keep adding (till it reaches $18/share, based on current conditions).