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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: John Pitera who wrote (4482)	8/28/2001 3:21:32 PM
From: MulhollandDrive	Respond to of 33421

That's an excellent article, John.. I would say, I agree " the person next to you" is really what drives the market. And I also think that's just another way of saying "greater fool". Investors look at momentum. I believe somewhat paradoxically that the risk/reward is simply too great than to focus "measurable attributes" such as valuation. A company can be trading at "fair value" and still falls victim to selling when the overall market sells off. When the herd begins the stampede, I doubt it will be on the basis of valuation. In other words, I think valuations get out of kilter either way on the basis of investor sentiment.