This blog post originally appeared on RealMoney Silver on May 14 at 7:36 a.m. EDT.
One day a hare saw a tortoise walking slowly along and began to laugh and mock him. The hare challenged the tortoise to a race, and the tortoise accepted. They agreed on a route and started off the race. The hare shot ahead and ran briskly for some time. Then seeing that he was far ahead of the tortoise, he thought he'd sit under a tree for some time and relax before continuing the race. He sat under the tree and soon fell asleep. The tortoise, plodding on, overtook him and finished the race. The hare woke up and realized that he had lost the race. The moral, stated at the end of the fable, is, "Slow and steady wins the race." -- Aesop, "The Tortoise and the Hare" ( Wikipedia summation)In my professional investment career, since graduating The Wharton School in 1972, I have seen multiple bull- and bear-market cycles. And, almost without fail, I have observed that far too many investors worship, trade and invest at the altar of price momentum, though their investment strategy is framed (publicly and sometimes disingenuously) on fundamental grounds. While momentum trading has its benefits and can produce superior investment returns, it is not for me. I am by no means an investment purist -- "I don't want to make friends; I just want to make money!" -- but buying high and selling higher is not in my investment bag. Unlike, Jim "El Capitan" Cramer, I am no good at it.
Know what you own: The most active stocks in Thursday's midday trading include Bank of America (BAC), Citigroup (C), Direxion Daily Financial Bear 3X Shares (FAZ), Direxion Daily Financial Bull 3X Shares (FAS), Ford (F), SPDRs (SPY) and MGM Mirage (MGM).