Fat Pitch Lesson

Fat Pitch Financials published an excellent summary of his Parlux Frgrances (PARL) trade, detailing the ups and downs when you ignore all the rules. He summarized his lesson in a bullet point format, but his first point is perhaps the most valuable (emphasis his).

+ Always google the CEO, even for short-term investments in special situations. (I thought I had already learned this one.)
+ Never swim with the sharks or you’ll end up as shark bait. When short-sellers outnumber everyone else, run for safety.
+ When the reason you purchased something is no longer valid SELL. (I have discovered I really have a problem with my serious bias against selling my losers. I definitely need more practice with this one.)
+ Listen to the warnings of trusted and seasoned financial writers. These are few and far in between but valuable.

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