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.

Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: IQBAL LATIF who wrote (37458)	3/23/2001 8:27:43 AM
From: Rarebird	Read Replies (1) \| Respond to of 50167

<I think with hindsight yesterday we saw what bulls do to bears> The Bears control this market for now and have been looking for a rally. Isn't it amazing what short covering can do while taking profits? Rallies are the norm not the exception in bear markets. Sure, there are always those on either side of the ledger who overstay their welcome and become pigs and they do get killed.... <Bears have no ideas what the bulls are like> The name of the game is to profit on either side of the ledger. A bullish stock market trades on positive earnings visibility moving forward. There is none of that here through the rest of this year and into early 2002 thus far. To be sure, the stock market will turn up 6 months in advance before the new upbeat economic cycle begins. <the bull has time on his side the bear is short of time> I doubt Greenspan will be able to save the bulls this time. The vast majority of Americans are all tapped out. The Bull needs a resumption of strong earnings and revenue growth or his favorite tech stocks will continue to hit new lows down the road. Tech is a slave to the economic cycle. The bulls mistakenly thought that bear markets were repealed and had priced the NAZ for Nirvana, eternal economic bliss. The bulls were wrong. PE's will continue to come down the longer it takes for growth to resume. The NDX is nothing other but a cyclical growth index. It should be bought when the economic cycle has truely bottomed and is about to turn up and it should be sold at peak earnings, which took place during the first quarter of 2000. I would not mistake a possible strong bear rally for a bull market. When the time is ripe, the smart bears will become bullish. Life is change and so is the economic reality and cycle. Picking bottoms in a bottomless pit and abyss is a recipe for financial loss and possible disaster. I look forward to the next bull market. But I will not impose my hopes or faith on the economic reality. Good luck in your trading, IQBAL. Regards, Rarebird