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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: IQBAL LATIF who wrote (7455)	10/26/1997 11:03:00 AM
From: Joseph G.	Read Replies (1) \| Respond to of 94695

IQ, <<Lets keep our intllectual honesty intact.>> I'm with you here. It is reported Asean markets (ex Japan) accounted for 29% of US exports last year. Joe

To: IQBAL LATIF who wrote (7455)	10/26/1997 12:56:00 PM
From: Haim R. Branisteanu	Read Replies (1) \| Respond to of 94695

Latif you are again trying to twist or read incorectly at least in my post's. Latif you are stating: "6% of US corporate profits are driven in ASEAN countries", it may be true, as I do not expect my grocer in the corner or my HMO etc. to make money in MALAYSIA <g> Therefore 6% of ALL US CORPORATION is not a number to sneeze at especialy at times that stocks on average, are priced on GROWTH and 22 times next year earnings. Even so your theory justifies at least a 20% drop in stock prices keeping all equal. Less earning growth, lowers the multiple so you get a multiplier effect if XYZ traded at 22, earnings will drop to $0.94 from $1, earnings (based on Latif argument) growth is now from 82 cents to $0.94 only 14.6% therefore earning growth is 14.6x0.94 = $13 3/4 So on a theoretical basis you may get a 35% to 40% correction <:O) - OH NO!! Well things are not theoretical so based on your diligent work, a 20% to 25% correction in the US market is perfectly justified. HM?! As to your perpetual short position comment: FYI - I sold only last week my LONG positions in CA for company specific reasons, and it is/was not my only long position. (Sorry Bears) You were trumpeting "investing" not trading, so if you are long a stock for a period of time, you can also be short a stock for a long period of time, for which company you anticipate weak fundamentals. As it is healty to write out of money covered calls and collect premium it is healty to write out of money covered puts and collect premium. In summary from your postings I read betwenn the lines that you are not properly hedged and you are hurting on your long positions. Please accept my sympaty and I am sorry if the market has given you the wrong rub. As they say no pain no gain. Happy trading Haim, still clueless