I'm not sure Blackcap - but it sounds like you may be correct. How does one prove intent? I think the way Miner is doing it looks sound enough. But then, if your "intent" is to invest (or hold long term) - why would you sell after what appears to be a short time - especially if the price started dropping? It must only be to lock in profits - and profit is taxable...as opposed to capital gain.
If you didn't then re-enter when the SP starts to rise again - then you could probably argue you were simply cashing in your long term capital gain. But, if you did re-enter, then the taxman could possibly argue you were trading afterall - trying to make ongoing short term gains.
Conversely, what if you were selling because you were making losses and wanted to limit those losses (as opposed to the above)?
What I do know, is that if your paperwork is not done properly and you can't prove your "intent" - or explain the difference between your paperwork and your actual historic share trades....then good luck with the taxman.