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Strategies & Market Trends : Stock Attack II - A Complete Analysis -- Ignore unavailable to you. Want to Upgrade?

To: bearshark who wrote (38469)	7/27/2002 4:21:34 PM
From: isopatch	Read Replies (2) \| Respond to of 52237

Indeed! How the market has changed... during the past 1-2 years. Message 17802005 Deep into every major Bear Market with a lot fewer individual investors in the market, it's largely pros vs pros. Made a couple of posts last year (don't have urls at hand) about how nasty it gets in that environment, because the supply of clueless dummies to take the other side of the trade for the big money pros is G.O.N.E. Looking around the various SI threads, see a lot of good non-professional traders who've done well till now. But because they've never been in a real major bear market (last was 82'), are being hit hard for the first time. Even some of the better pros - with major bear cycle experience - have taken serious hits on a few trades, this year. Me included!<ng> That's also why, as early as those posts last year, talked about how most professionals permanently hold much higher cash levels - AND do fewer trades - in major Bears than in Bull Markets. Varies a lot from pro to pro with trading style and preferred holding periods. But my personal rule is to rarely go below 50% cash in a big Bear vs a Bull Mkt where as low as 10% is OK. (My style and personal risk/profile precludes use of margin). Anyhow, when those posts went up on SD II and SA II last year, the response was polite disinterest. But, as I'd seen as a broker during the 1982 Bear - and since - most quietly (perhaps smugly) rejected such high cash levels as <pussy> or evidence of a loser mentality:+)) If I could find those old posts and put them back up, bet the response now would be VERY different, after so many genuinely good traders have been baptised by fire and brimstone during just the past week or two. Everybody that plays in a Bear Market gives some back. It's only a question of how much... Isopatch