AFSI was by far my largest long position in 2007 as this chart was about as near-perfect as they can get for an IPO. It was a very easy decision to load up on this one (It only got to 15% of the portfolio due to the low VIX and low volume in the overall market). However, it was still big enough to make a strong impact on my accounts. From the start to the finish, AFSI gained 89%, 85%, and 73% respectively, from each of my longs, in three months. It wasn’t a huge Monster Stock but considering the horrible low-VIX environment that we have been in since 2006 it was definitely a big winner. This is the difference between a Monster Stock at the start of a bull market (TASR ‘03) and a Monster Stock near the end of a bull market (AFSI ‘07).

the first buy:

the second buy:

the third buy:

the first sell:

the top:

Last 5 posts by Joshua Hayes

• After An Ugly Open, Stocks Rally On Lower Volume, Saving The Market From A Possible Very Painful Day - December 13th, 2008
• A Failure At The 50 Day Moving Average Combined With Breakdowns And Reversals In Leading Issues Tells Us That We Need To Be Ready For The Reality Of New Lows - December 12th, 2008
• Stock Indexes Pause At The 50 Day Moving Average; Another Long Bites The Dust Indicating This Isn’t A Bottom Yet - December 10th, 2008
• Stocks Selloff On Lower Volume As The Major Market Indexes Hit Resistance At The 50 Day Moving Average - December 10th, 2008
• Impressive Rally Across The Board On Higher Volume Sends The Indexes To Their 50 DMA; Some Stocks Are Looking Much Better And Making Bases - December 8th, 2008