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Non-Tech : Invest / LTD

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To: 007 who wrote (5788)12/3/1998 10:17:00 PM
From: Thean  Read Replies (1) of 14427
 
James, in this business every factors that stand up to something will be important. If nothing is important, there will be no CNBC and no us talking here. To be successful in investing one has to see beyond those argument/explanation points and be able to shuffle those factors in terms of their importance regularly.

In very simple terms, fundies will be very important when the stock price movement as explained by fundies alone makes sense. A lot of people like to think that in long term, fundamentals will prove right. That is a fair statement. The problem is it does not guarantee investment success. One has to always keep the time element in mind as time is money. Making a 20% return in one year is a success. Making a 20% return in 4 years is a failure. Investing on the "long term" basis will at best makes one right only once. At worse, it makes one wrong for a very long time. The technology revolution has come of age in the financial market and with the leveling of the playing field, fundamental alone has more often than not taken a back seat to mo-mo based investing which emcompasses sentiment, technicals and fundies within a fast pace time frame. The key thing about mo-mo investing is it takes advantage of the multiple opportunities to buy and sell as a result of this leveling of playing field where peak-trough cycles are significantly shortened.
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