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

To: Logain Ablar who wrote (5772)	3/1/2002 4:59:23 PM
From: Raymond Duray	Read Replies (1) \| Respond to of 33421

Hi Tim, This is the "Market Laboratory" thread, last I checked. Markets, unfortunately, are not unaffected by political manipulation, as well as all of the other varieties of manipulation and contrivance that affect outcomes. Your view that my opinions are inaccurate is certainly fair game for debate. What I think ought to also be open for debate is the very essence of what markets are and how they need to be contrived in the future. You may find this to be too strategic a notion, preferring, it would appear, to examine the methods of manipulating the existing body of tax code and accounting arcana for gain. I think two intelligent humans can differ as to whether that is a sensible course for this economy's leaders to take. We obviously disagree as to the validity of the present jerry-rigged contrivance of tax law loopholes, corporate abdication of social responsibility and the general tone of amoral greed driving the current market. All the best, Ray

To: Logain Ablar who wrote (5772)	3/1/2002 5:42:58 PM
From: hugh thorne	Respond to of 33421

Tim, i think many would be suprised at how much certain tax structuring can increase the bottom line of a public company. This oomph however doesn't usually seem to translate into market cap. Some of the best examples up here have been some of the Bronfmon and Conrad Black companies. The guy who took over Singer Sewing back in the 90's was probably one of the best, but i think they are now bust. With regards to ENE, it seems that the market cap supercharging came from a lot more than just the accretion of reduced taxes! As to why the caps are flat, the obvious nature of certain tax planning leads to the fact that no one wants to stand up and yell to the analysts, come and look at why you should value us ahead of XYZ competitor. On the other side, i don't see a lot of analysts digging this deep either. Unfortunately, quite the opposite occurs and these companies get hit with a discount to the sector. I think i have seen it referred to as the "complexity discount" although i don't know if there are papers on it. Anyway, on another note have a good bottle of wine and hopefully the "code" will be purged, even if only for a while.

To: Logain Ablar who wrote (5772)	3/4/2002 5:11:39 PM
From: John Pitera	Respond to of 33421

The SPX closed at 1153.76, a point over it's 200 dma, we usually see some selling and shorting emerge when the SPX reaches it's 200 dma from the underneath. But this is proving to be a very strong advance. The DJ Transportation average made a new 52 week high today host.wallstreetcity.com and we're definitely on a Dow Theory Buy Signal. The XBD Broker index had a huge day today. stockcharts.com[w,a]daclyyay[pb50!b200][vc60][iUb14!La12,26,9]&pref=G It soared through it's 200 dma and also it's 50 dma. The BKX also went above it's 50 dma and then it's 200 dma stockcharts.com[w,a]daclyyay[pb50!b200][vc60][iUb14!La12,26,9]&pref=G and the SOX has done the exact same thing the past 2 days stockcharts.com[w,a]daclyyay[pb50!b200][vc60][iUb14!La12,26,9]&pref=G I'd say we have about a 90% chance that this rally is for really based on prior statistical experience. (and by that I mean that we should see an overall rally phase for the next 6 to 8 weeks) John