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

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To: sean sanders who wrote (3194)8/4/1997 11:15:00 AM
From: Robert Graham   of 42787
 
...saying his "paper" predicted this stock to go up.

Evem though I do like Weinstein's book, I looked up his newsletter in Hubert which does provide good, objective ratings of newsletters, and Weinstein's came in with a poor rating, well below many newsletters.

It is interesting to note that the newsletter that did perform the best is an entirely technically based newsletter called the Chartist. It is also interesting to note that the newsletter that performed in second place is a value oriented weekly periodical called Value Line OTC followed by their regular edition of Value Line not too far behind. So you can select between the fundamental and technical methodoligies and still do very well. Value Line does change their rating on companies through the year as to what group of stocks will perform well in the near term, so there is even some form of market timing with this value oriented investment newsletter. They even take near term events such as earnings surprises into account.

As far as market timing goes, the technical newsletters as a group did better than the other newletters such as those that utilize the value oriented approach. However, most of these same technically based newsletters did not compare well with the other newsletters with respect to performance. So to me this indicates timing is one important quality, but stock picking is another important quality which the Chartist evidently does very well. So there are charts of "winning" stocks and charts of "losing" stocks irrespective of the use of market timing. This of course depends on you investment approach too.

Bob Graham
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