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Strategies & Market Trends : Technical Analysis - Beginners

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To: David R. Evans who wrote (9176)2/10/1999 7:36:00 AM
From: Dick Brown  Read Replies (2) of 12039
 
Dave,
Nice to see you back..
You know we have so many choices in the stock market, over 10000,
it is nice to have + fa backing up ones trading if you are trading the long side. Not that it is a requirement to successful trading..Investors/traders perceptions change and within one economic climate pay a high multiple on an IBM lets say but under another a modest PE.. So what I'm trying to say is that if the economic climate changes IBM could sink in price even though revenues and earnings are increasing . People become less optimistic.. This gives the impression that FA is failing but it is more complicated than that.. If interest rates go up 2% points I know that IBM will fall a lot even during OK growth, for IBM anyway.. If you want someone to buy those stocks from you it is nice to have a good fundamental argument to make the sale easier..IMO..I also agree with Richard that there is a lot of 'cooking' the books..Don't know how you fight that..
Dick.
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