There is, more than ever, a real psychology (and I say it's dysfunctional often) to the market. But actual trading? Pearlman breaks it down quite simply.

My interpretation of his explanation is that we'd be better off thinking like Spock -- not Dr. Benjamin Spock, but Mr. Spock of the U.S.S. Enterprise. Logical and mechanical action based on thinking clearly -- leaving emotion completely out of the equation.

Epilogue: Possibly influenced by Pearlman's advice, I let go of STP and WFC at the end of Wednesday's trading session. STP (sold at 12.95) ran to 14.40 by Thursday's close. WFC (sold at 14.70) gapped up on Thursday and closed at 19.61. However, I'm convinced that Pearlman is right. It's important to cut the line (sell) when necessary rather than hold on through anxiety and unreasonable -- illogical -- thinking.

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