I just read a blog about the Dogs - the way people usually trade them. You can read it here. I also made a comment on that blog, which, of course, you can also read at that location. That comment was more for the benefit of readers of that blog than the readers of this one, but it explains how someone should not ignore the value of using the Dogs of the Dow - just realize their advantages and dangers, and use a proper system for trading with them.
I noticed that HD is no longer considered a Dog. However, I am keeping it simply because it hasn't actually changed. It is still a member of the Dow, and has maintained it's dividend. I won't switch a stock out of my originals unless one of the two above is no longer true.
By the way, something I never mentioned in my original post was the author of the book, How to Make $1,000,000 in the Stock Market, Automatically. His name is Robert Lichello.
Friday, January 2, 2009
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