Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: HairBall who wrote (23167)	8/16/1999 9:57:00 PM
From: pater tenebrarum	Respond to of 99985

LG, i agree. that doesn't change the fact that his calls have been quite good so far this year. here's why i agree: if one looks at the Barnes risk index, which is a more sophisticated version of the Fed's stock market valuation model, one can clearly see that the end of the '98 correction was reached at a Barnes index level where bull markets normally end. the fact that this level has become a support level for stocks proves how far-out this market is in it's assumptions of what represents value. the market has never left high risk territory as defined by this index since '96. of course it may be that the risk index needs to be adjusted to 'new era' type risk. there is a study that asserts that stocks do not deserve a risk premium at all, but then academics have been famously wrong about that in the 1920's as well... regards, hb