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Strategies & Market Trends : Fundamental Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Madharry who wrote (1299)	11/14/2010 12:30:47 PM
From: bruwin	Respond to of 4719

Hi there Madharry .... Yes, based on what I see in their latest set of Quarterly financials I've no reason to change my opinion about the company. I also read the transcript of their CEO's comments about EBIX's state of affairs etc.., and it seems to me that the company is well positioned to continue its recent business performance. They are well spread in several parts of the world to take advantage of local opportunities with local acquisitions. They have also scored with reduced tax liabilities due to where they gather most income. So if there are those who are selling, well,... then there are those who are selling. But, personally, I can't see good fundamental reasons why they should. It was much the same as when there were those who were massively shorting the stock. I now see that the short interest has fallen to the lowest since mid-December 2009. nasdaq.com When it comes to Technical Analysis I'm a believer that Technicals should follow Fundamentals, and not the other way around. If the relevant Fundamentals are sound then the price should eventually reflect that state of affairs. Otherwise you could have a situation, as you describe, where several large players could affect the price movement, for profit-taking oriented reasons, and others of "the Market" follow suit thinking that there's a "good" reason to sell.