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Strategies & Market Trends : Stock Attack II - A Complete Analysis

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To: dennis michael patterson who wrote (38872)8/11/2002 4:15:19 PM
From: Robert Scott  Read Replies (2) of 52237
 
1. It hasn't cost any of my subscribers anything because no sell signal has been issued.

2. You cannot take the last 1 year and ignore the previous 30.

As I said, no stock picker, market timer, analyst, short, etc., etc., person is right all the time. I don't profess to be and anyone who does is delusional or has been at it for so short a period as to not be worthy of listening to.

The record is what it is. The Model was up 733% from June 1992 through Feb 2000. Then it was up 20% from February 2000 through August 2001 when the Nasdaq lost 2/3 of its value. These gains are in the bank. The Model has declined by 12.75% in the DJIA, 20.14% in the S&P 500 and 34.9% in the Nasdaq since then. Let's not forget that the declines since the peak of 2000 are of historic proportion. This is no more the way the market usually behaves than was the period in the late 1990s.

Also it's important to note that investors need not invest in the Nasdaq. The Model tracks the DJIA and the S&P 500 too. It depends entirely on your risk tolerance. You won't get rich quick with the Model but you will beat the pants out of buy and hold (as evidenced on the site) and inflation. Inflation is up 351% since February 1971 while the Model (after tax) is up 1308% in the DJIA, 1289% in the S&P 500 and 3269% in the Nasdaq as of July 2002 month end.

By the way, I do not know who Don Sew is and if he's the guru of the moment, so be it. Many people can beat the Model in the short run. That's not what the Model is about.
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