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Technology Stocks : C-Cube
CUBE 38.00+2.6%Feb 3 3:59 PM EST

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To: Black-Scholes who wrote (44306)8/31/1999 11:08:00 PM
From: Helios  Read Replies (2) of 50808
 
Malkiel also wrote that fundamental as well as technical analysis is of little use in selecting stocks since the fundamentals are already priced in. If you take Malkiel as correct, BS, why are you even bothering with C-Cube. You should buy an index fund and stop wasting time worrying about whether the market is correctly pricing any particular issue.

My own view is that the simple technical analysis that people often expound on on these boards are easily coded and checked by a computer and they don't work. Professionals have gone much further with advanced mathematical techniques such as neural nets and linear predictive filter and who knows what else and their edge barely covers the cost of equipment and the salaries of the quants that they employ.

Nevertheless if Malkiel and his friends are correct then while we may not be able to help ourselves by selecting our own stocks we can't hurt ourselves either so it's ok to be agnostic on the whole issue, do our best to select stocks that we think are going to go up and recognize that by selecting just a few stocks we're flipping a larger coin (increasing volatility).
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