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Strategies & Market Trends : Bob Brinker: Market Savant & Radio Host

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To: Thomas M. Carroll who wrote (2770)1/15/1998 9:55:00 PM
From: James F. Hopkins  Read Replies (1) of 42834
 
TM; Thats VOODOO..maybe what he is talking about is say a stock
or the market drops 20% , like 100 -20 =80, now for 80 to get
back to 100 it must go up 25%..20/80 =25%, in all cases were
you lose money in the market it takes an even larger gain just
to get even, lose 50% on a stock and it has to double, or
gain 100% just to get back were it was.
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But let me tell you once a market gets spooked it can
take a long time to claw it's way back.
What seems to be missing so far as I've read is that the market
really peaked back in JULY, it has done nothing but slip and
slide and buck and sink since late July.
The pundents haven't really charted the MEGA CAPS.. most
of them hit their highs back before the OCT sell off.
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So it's about time for it to start back up, but OCT27th spooked
a lot of people. And the P/Es are at record levels so don't count
on any big run up anytime soon.
Bear markets have been known to run for years, slowly eating away
at the hangeroners.
Jim
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