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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?


To: TobagoJack who wrote (57438)12/22/2004 10:22:48 AM
From: Ramsey Su  Read Replies (3) | Respond to of 74559
 
Jay,

the market now has all the characteristics of 1999.

1. lots of money looking for home.
2. trend followers dominate, especially short term.
3. all FA out the window.

One of the biggest problem now is that so many hedgies are in the long camp. so if anything triggers a selloff, there is no buying left. don't know where support is going to be.

triggers: saudi arabia, any combo of sars/chicken flu, AQ attack on US soil, bond market collapse .....

but if this is like a 1999, it can run for a long time. so how does one protect the downside?