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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 683.310.0%Nov 12 4:00 PM EST

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To: Crimson Ghost who wrote (47613)4/21/2000 2:35:00 PM
From: Bill Larsen  Read Replies (4) of 99985
 
George,

I'm wondering how much fear a downturn in the market is going to create. A lot of people (myself included) have been reading investment advice from places like the Motley Fool who argue that if your time horizon is long enough you shouldn't hit the eject button in a correction.

Anyone have any ideas how much money is in the markets from investors who are not living on margin? When I look around at my family and friends, they all seem to think, "humm, this downturn sucks sh*t, but I can pay my bills and I am not buying stocks with my credit cards, so I don't NEED to sell, so I'll wait this out..."

These are not people daytrading or speculating on specific issues and they don't have any ideas about the short term direction of the market, they are just putting away money into their 401k's and mutual funds, and aren't really watching the markets.

These are people who are going to need some serious reversal in their day to day fortunes before they feel compelled to liquidate equity assets cheap.

Are these people going to get their heads handed to them?

just musing.

Bill
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