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To: D.B. Cooper who wrote (1641)6/8/2001 2:11:55 PM
From: Venkie  Read Replies (1) | Respond to of 13815
 
Hi Donnie H..Welcome



To: D.B. Cooper who wrote (1641)6/8/2001 3:00:33 PM
From: D.B. Cooper  Read Replies (1) | Respond to of 13815
 
To:Rande Is who wrote (52223)
From: Rande Is Friday, Jun 8, 2001 12:25 PM
View Replies (2) | Respond to of 52233

. . . . . How to create a bagholder:
1. Wait until volatility is at its lowest.
2. Throw some smoke screens up like a software glitch in NYSE or take quote servers down.
3. Take the market down all at once, before they can react.

You've got bagholders!

Today the VIX is at a low of around 22. . .lowest of the year. . .in other words, investors are extremely confident that they can hold their stock long-term with little reason to sell. And that is historically a dangerous place for the markets.

SIDEBAR: Any journalists out there that would like to do a story on how often major dumps or spikes in the market are "signalled" by "software glitches"? Our quote servers go down, online brokers simultaneously lose the ability to handle trading. . . or get so slow that individuals cannot trade, trading floors have problems. . .etc. . . and when everything comes back online, the markets have just made a substantial move.

I wish I believed that investors respond to the markets. But after an exhausting study this week, I have now concluded that it is the other way around. . . . the markets respond to investor sentiment. It is a big game. Probably always has been. . . . and the key word, which is never really spoken in the inner chambers of Wall Street. . . is m-a-n-i-p-u-l-a-t-i-o-n.

Rande Is