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

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To: Investor2 who wrote (6056)7/17/1998 3:17:00 PM
From: marc ultra  Read Replies (2) of 42834
 
i2, hi, I think Bob has stated in the past that he makes refinements in his model periodically. Also I recall he was using a second model as a back up to confirm the main model though of course I have no idea if that is still going on. Since it was pointed out his current model apparently dates back to 1988 I would conjecture that sentiment may be a larger component than earlier models since in 1987 bullish sentiment calculated the usual way (bull/bull+bear) was 76% in August when things started to fall and by the way reached 80% just prior to the 73/74 bear market. As he has often said though, sentiment is just one part along with valuation, money supply and economic. It is interesting that we have lost valuation, may be on the verge of losing sentiment and some economists are starting to talk of negative GDP in the future, something to ponder and something that again makes me wonder about a 4th quarter inflection point possibility once mentioned

Marc
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