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Tell me this.. why would you possibly suspect we have ended a bull market
right in the middle of the most prosperous times we've had in 45 years?
Unemployment is near all time lows, inflation is nearly
non-existant, corporate profits are fantastic, growth is showing little
sign of letting up and the world is at peace with recently bruised
economies showing signs of recovery. So, we are going to enter a bear
market because we took back 3/4 of a point in interest rates that were
given to help Japan's economy? Or because xyz company didn't meet earnings
expectations? Rediculous!
I saw the last bear market .. it was in 1982 and we had 22% interest rates,
huge unemployment, stagnant business growth and a white house that lived in
never never land with Peter Pan.
Don't let the chart/star/stats/history/ or any of the gann/slam/bam,
wave/mave/shave watchers upset you. Every one of these 'methods' is right
half the time and sometimes, several times in a row. (Just like coin
flipping). Keep your head, use it and remain calm. There are at least as
many undervalued stocks right now as there are overvalued stocks. A
10-20% correction is not a bear market, it is a display of good health in a
long ranging bull market showing no signs for concern. Electing a
democratic congress and a democratic president would be showing signs for
concern. (See 1982).
Follow the fundamentals and follow your common sense. October will be
over soon and everyone will be talking about how well the market has done
over the recent past instead of the October horror stories. In the mean
time, traders don't care where it goes for more than an hour or two anyway.
Position traders should be looking at the values being created by the
Octoberites.
Anyway, I'm off to throw some bones .. I want to see what tomorrow brings.
:))
Bob
At 01:57 PM 10/17/99 -0700, Terry S. Smith wrote:
> &P's may now begin to trend, the last decline should be helpful
>determining where this most recent decline should end. Allow me to
>explain. & to what price we might find a bottom. Happy trading.
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