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Strategies & Market Trends : The New Economy and its Winners -- Ignore unavailable to you. Want to Upgrade?

To: Wizard who wrote (390)	5/22/2000 11:58:00 AM
From: Eric Wells	Read Replies (1) \| Respond to of 57684

What I am saying is that it pays over the long run to average-into the best whenever they drop by a significant percentage. Wizard - it also pays to avoid market environments that are driven by manic investor behavior. You must admit that we are looking at a market that embodies quite a bit of risk at the moment. I believe we could easily see Nasdaq 2500, or possibly lower. And it may be quite some time, more than a year, before we see Nasdaq 4000 again. In the past, investors have valued stock prices on tangible earnings flow - but the past few years, investors have been lulled into valuing stock prices on dreams of "potential earnings". If you believe that we are returning to fundamentals, as I believe we are, then it can be argued that many stock prices are still way too high. I have trouble buying anything for which I believe the price is too high - and for which I believe there is a strong likelihood that the price may be going lower. That's where I believe we are today. Thanks, -Eric