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Strategies & Market Trends : Asia Forum

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To: Zeev Hed who wrote (5027)7/3/1998 3:58:00 PM
From: Goldbug Guru  Read Replies (2) of 9980
 
Zeev, I respect your expertise in anallysing Merck's true value, but that will only work if the hard working Joe continue pouring money into mutual funds. Majority of the people that's pouring their hard earned blood & sweat money are Newbies. They never witness or feel the magnitude of a big market crash so these guys & gals are in for a rude awakening. The NY brotherhood is brainwashing these guys & gals into thinking that buying U.S stock can lead you to retirement before 40 or double your money in 2 to 3 years.
That's true if you got in early but now you're playing the "end game".
Wall street only tells you the good part of investing in stocks but they hardly ever emphasis the consequences like losing 20% to 50% of your mutual funds money. The Dow is a mirage is not real. Merck and other blue chip stocks can go down to a point beyond god's imagination. In order to sustain at these level Institution must remain calm, retail investors must remain calm, and what's the chances of that happening when dow dropping 600 points in one day. The stock market will be in chaos, you and I will be rushing to get out.
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