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To: anializer who wrote (47276)7/14/2006 10:06:58 PM
From: Broken_ClockRead Replies (1) | Respond to of 118717
 
I can tell you that I went heavily overweight JOE puts a couple of months back and that alone has saved my portfolio. Some would say I wasn't diversified enough, but so far the strategy is working incredibly well. I've never been a put buyer ot shorter but making the change has proved profitable in all but one of 20 or so trades.



To: anializer who wrote (47276)7/14/2006 11:14:02 PM
From: SpekulatiusRespond to of 118717
 
Anializer - this very much looks like a flat market, rather than a bear. We are down 7% from the top and flat (give or take 2%) and you call this a bear?

finance.yahoo.com

Every once in while all stocks go down all at once and nobody complaints or thinks something is wrong with the market. Every other while all stocks go down all at once and the market is broken? It's mass psychology and will sort itself out, been there and done it in 87, 90/91, 98, 2002, compared to those times this is a piece of cake.



To: anializer who wrote (47276)7/16/2006 1:20:35 PM
From: RJA_Read Replies (1) | Respond to of 118717
 
Things to consider in retrospect:

1. Peak oil. IMHO we are in it. This => inflation.

2. US trade and budjet deficits. Unfunded liabllities. Only way out => inflation => decline of dollar. Good for Gold.

3. Interest rates are rising. Bad for any stock that pays little or no yeild (most if not all US stocks, IMHO).

4. IMHO market las a long way down to go. See 1929. Loss of 90% of peper value. Dividend yields s/b around 7% with little or no inflation to justify investing. What does that do to current values. Slightly inflated, no?

5. Folks that invested in Canandian Energy Income Trusts have done reasonably well. Thats because they may be receiving a 7 - 30% annual dividend (in canadian dollars) depending on what and when they bought. Some have done extremely well. Canadian Oil Sands Trust went from 35 - 175 and split 5 ways... while paying monthly dividend. How do these compare to what you have been buying/holding?

6. Gold bugs are pretty happy.

IMHO this is just the beginning of the decline. There will be good opportunitys to buy in later (see 4 above).