Bob - I'm gone so darned much and can't keep up with the TA of the market. If you can believe this, I stayed 2 nights in a hotel in Atlanta where there was an IBM convention. As a result of all these guys using their laptops on the dataports, no one could call out of the hotel! So, no data downloads for 2 days!
Anyway, by being incommunicado, I started thinking of this market. It seems that the more trouble President Clinton gets in, the higher it goes. Regardless of what political feelings we all hold, we have to admit that he does have a very capable team in Greenspan and Rubin. It sure did help President Clinton's economic image when Senator Moynihan came out with his suggestion to allow part of Social Security to be invested in the stock market. It seems like every time a negative hits the President, something new comes out that helps him. His strong point is the economy, and if that tumbles, it's curtains for him. This is one reason why I'm optimistic for the bullish prospects of this market.
Also your observation about short-term speculators buying low and then selling a little higher seems right. They are continuing to buy to sell and sell to buy. They are not selling to stay out. This keeps the market moving.
Also, another observation. Last week on Silicon Investor, it seemed that everyone was bearish. I've seen that before and the market acted then as it did now; it went up. These are sophisticated investors using good TA programs. I'm wondering if all previous forms of TA are somewhat outdated because everyone is using similar oscillators, etc. If we want to stay ahead of this market, maybe we should come up with new ways to identify undervalue, overvalue, and getting with the trend and just staying with it.
Also, people keep funding their 1997 IRA's. Could this also be a reason for the market moving up until mid April?
Do you remember the name of the person who was given a Pullitzer, or was it a Nobel?, Prize for coming up with a new method of arriving at important decisions using just limited information? Do you know how I may get a copy of his work? It seems that is very relevant now...
Enjoyed your post....Skipperr |
