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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: Killswitch who wrote (12473)	5/31/2002 1:20:36 PM
From: Killswitch	Read Replies (1) \| Respond to of 19219

businesscycle.com reports WLI staying quite stable "NEW YORK, May 31 (Reuters) - A rise in a weekly indicator of U.S. economic activity confirmed that the U.S. economic recovery is well under way, but its level suggests a weak rebound, a report on Friday showed. The Economic Cycle Research Institute's Weekly Leading Index rose to 122.0 in the week ended May 24 from 121.8 in the prior week. "The recovery will remain on track through the rest of this year," said Lakshman Achutan, ECRI managing director. "There's no indication of any renewed downturn." But he noted that the index is only slowly edging its way higher, indicating an economic turnaround that lacks gusto. "It confirms that this is a subpar recovery," Achutan said. The index's growth rate -- which compares the four-week moving average with its behavior over the preceding year -- inched lower, to 4.5 percent from 4.7 percent. The Weekly Leading Index is composed of a balance of seven major economic indicators. ECRI designs short- and long-term indexes aimed at predicting business cycles, recessions and recoveries in the world's leading economies."

To: Killswitch who wrote (12473)	5/31/2002 2:23:55 PM
From: ahhaha	Read Replies (2) \| Respond to of 19219

Who says that insiders know anything about whatever they're selling, since the managers of the companies don't know either? Insider selling has been notoriously unreliable if not reliably wrong. It is inside buying when the market is rising from a low that has been a fairly good indicator. It's only fairly good though. Why should anyone believe that insiders know about the future of a company? The future of a company is only to a minimal extent determined by internal factors including actions by managers. The best a management can do is position the company to benefit if certain external factors get in place. Management has no control over external factors. In fact, heavy insider selling is a good indication that the selling phase is just about over. The insiders are getting out just in time in their view, but their view is necessarily narrow and well-conditioned by the obvious external news. They get out just in time to minimize return which should be the reward for pretense to knowledge.