Should one catch a falling knife? I would not especially when we have seen that the knife is already been held high up. In recent times, useless stocks have reached all time high. The usual lesson is that if one is to hold on to those stocks, be afraid as we would never be comfortable with those companies. It may be a one time wonder. Good stocks would however pick itself up. I have seen that in old old stocks like Genting, BAT, Nestle etc. and they would reach all time high again and again.