bid for size, talk to me about DELL when smoke clears...I am watching the 1600 level very carefully on NASDAQ composite....Will see how we hold above it or below it tomorrow...By the way, here are a few pointers about False Prophets of the Internet....
In the investment world, there are so many ways to pick up ideas on a stock to purchase. You can spend hundreds of dollars a year on newsletters. You can listen to the confident words of a broker. You can read investment magazines. Unfortunately, many times, by the time you get the information on a stock from a newsletter, broker, or magazine, many other investors have already taken up their positions and may be selling to you as you buy.
In my opinion, stay away from brokers, investment magazines, and newsletters. All these agencies, like the vacuum cleaners salesman, have a vested interest in having you buy the stocks they recommend. You would do much better by getting your initial picks from real friends on the internet in such investment bulletin board sights as Silicon Investor or Motley Fool on American Online. Warning: Be Careful who you choose as your friends. Make sure they are really your friends!!! There are many false prophets and hypsters on investment bulletin board sites. You will need to test these people to see if they are hypsters or false prophets.
How can I know if someone on an investment site is a false prophet or not? Here are some signs.
1.A false prophet is very knowledgeable about the stock he follows and is always bullish.
2.A false prophet frequents only one thread on an investment bulletin board, or may follow a group of stocks from a certain sector...(example, desert dirts on Silicon)
3.A false prophet will sometimes encourage you to take possession of your shares, to stop the Market Maker who is supposedly shorting the stock.
4. A false prophet tries to play the Market Maker as an evil force who wants you to sell your shares to him at a lower price.
5. A False prophet encourages you to hang in there as your losses mount.
6. A False prophet is receiving payment from the gods of the company, or has a large position at a low price in that particular security...
7. A False prophet has a following of people who praise him for his expertise. Many times one or two followers that frequent the same thread are personal servants of the False prophet. He gives them insider information, so that they can take up their positions before press releases occur.
8. A False prophet talks of future stock prices that are unrealistic. The prophet quotes prices of $20.00, $50.00 or $100.00 a share. He loves to play on your emotion of greed.
9. A False prophet has a group of Followers that are blindly loyal. Before they know it, the false prophet has dumped his shares while they are buying, and he then offers them up as a sacrifice....They are left holding an empty bag.
10. A False prophet suddenly disappears from a thread, and moves on to another stock, either under a new alias, or by the same title.
How do I find a true prophet, or a real friend, who is not interested in himself or just promoting a particular stock?
1.A true prophet frequents many different threads on a particular investment bulletin board.
2.A true prophet can be both negative and positive on a stock.
3.A true prophet is retired or has another full-time job
4.A true prophet shows a humble spirit, and is always trying to help out others.
5.A true prophet is right 60% of the time on his picks and wrong 40% of the time.
Regards, Mark |
