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Hi Nicholas
"... What would be an example of focusing on the
'moon' as opposed to the 'finger'?..."
Joe put it very clearly, ...
"... This is a NASDAQ stock (probably with one market maker) and not an
open-auction market like the NYSE and AMEX. I think taking a look at
time-and-sales for this stock might be worth the time spent as you come to
understand something about how the market maker is making money in it. ..."
People make money working in many different ways in the markets. They
exploit market inefficiencies and structural inefficiencies. Investors
usually have lots of ideas and plots but they don't exploit anything ...
they are the exploited. That's why they are fresh meat for the markets. If
you don't know who the "mark" in the market is, then it's probably you.
The ones that do survive treat it like a business. They find a niche and a
market inefficiency and they grind out the money. Day after day ... week
after week. They don't go for the miracles, the big scores, the home runs.
Sometimes the home run drops in their lap, but they're usually just really
good at bunting, or hitting singles.
They don't have any dreams about being a market wizard. They don't get lost
in "stuff" along the way. They stay focused and they just go to work
everyday.
So, it's fine to have "special" indicators or holy grails or optimal f's but
the bottom line is ... what market inefficiency are you exploiting to make
your cash.
Best regards
Walter
----- Original Message -----
From: Nicholas Kormanik <nkormanik@xxxxxxxxxx>
To: <metastock@xxxxxxxxxxxxx>
Sent: Sunday, July 11, 1999 3:31 PM
Subject: RE: A bit of real life analysis
> Walter,
>
> "I have come to realize that the use of indicators and systems are like
> pointing at the moon with your finger. The moon is the important thing
here
> ... not staying fascinated by your finger."
>
> What do you mean by the above? What would be an example of focusing on
the
> 'moon' as opposed to the 'finger'?
>
> Thanks,
> Nicholas
>
>
>
>
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