Editor's Note: This piece originally appeared as an Action Alerts PLUS issued to subscribers before the open Aug. 8, 2003. It is being reprinted for TheStreet.com readers as an example of the type of analysis and commentary offered in the Actions Alert PLUS service. Dear Action Alerts PLUS Subscriber, Give me a minute to talk to you about what I did this week. First, I grudgingly recognized that I hadn't taken enough off the table. When you have 15%-20% gains in this market, you don't sneer at them. When you have 300% gains, as I did in Conexant Systems ( CNXT), the positions shouldn't just be cut in half; they should be cut by two-thirds. But I didn't act swiftly enough and I gave up a whole point by waiting. Bothersome. Second, I recognized, belatedly, that stocks that are stalled are sending us negative signals. Newell Rubbermaid ( NWL) was stalled when it should have been going up, as was Commerce Bancorp ( CBH) during the great BKX bank run, as was Hewlett-Packard ( HPQ) during the tech run. Those signaled problems that I should have addressed. Finally, I was too eager in buying the single-digit midgets Charter Communications ( CHTR), E*Trade ( ET), JDS Uniphase ( JDSU) and ValueClick ( VCLK). I have room to double down on them but I don't know if you do. I can do only what I have to in order to make money, and I most assuredly will get much bigger in these stocks. However, I am cognizant that many of you think, given how well we have done this year, that the moment I buy, you ought to put a huge amount of money on the stocks I buy because they are headed higher. In every case, I buy a nominal amount of the single-digit companies and then get more aggressive as they go down. I didn't telegraph that kind of buying well with any of these stocks, so keep it in mind for the future: When I add a new low-dollar name I simply will buy less at the start and tell you so, and I'll add that I'm going to get bigger, pyramid-style, on the way down. Could I end up with 50,000 shares of Charter and 50,000 shares of E*Trade?