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Strategies & Market Trends : Bob Brinker: Market Savant & Radio Host -- Ignore unavailable to you. Want to Upgrade?

To: Investor2 who wrote (2831)	1/15/1998 11:38:00 PM
From: James F. Hopkins	Respond to of 42834

I2; Many CEs trade over assest value, but webs are like buying the S&P index, they match the index of said country very close buy only investing in stocks in the index. They will trade a bit higher or lower but adjust to the index. Like SPY does to the S&P, if you catch it just right you can get a discount ( not much ) generally it's at a small premium..even when you sell it. As webs sell off the trust sells some of it's holdings, as people buy webs the trust buys the index stocks. The small premium is sort of built into them just as with SPY, but it's small, just enough to allow for the time delay, if you like the web and hold it instead of trading most of them pay a dividend. --------------------------- I also like WEBs as you can trade them during the day , like your not stuck with the closing price, COmpare them to specalty funds that deal in that area and I think you'l see the webs do better than the funds, just like SPY beats over 85% of the Funds in this country. One last thing about WEBs you can get a feel for them if you Trade, "market time" and watch the currency of the country compared with the major currencies and what is called SDR, ( special drawing rights ) as set by the IMF..if you are regular about watching the currency moves , and look at the foreign markets each morning quote.yahoo.com and another must is bloomberg.com If one has not done a study of currencies and how they connect to a market, then their market timing is just some wildass guess. I chart the Dollar, the EU, the Pound , the SDR, the YEN, AND get a mean eyeball average then add whatever country I'm looking at to that chart and see how it's money is moving up/down aginst that mean average..then chart that index, not all behave the same way, there is no rule that you can apply, you have to hunt for a pattern, ( in some cases you may not find one) in thoes cases pass. Japan has be baffeled as it's stocks seem to work just the opposite of it's currency..well that's not true exactly I mean the currency don't lead the stocks as with most that have a pattern it does lead, with Japan it seems to trail..so looking at the currency is not much help with her, but I'm thinking that is likly something or a lot of somethngs I'm over looking. BTW it may be luck, but I started a new index of my own, based on the Dow, I use it as a leading indicator, it's nailed this market almost to a tee ever since I started it DEC5th. --------------- ANYWAY IMHO the WEBs are the best way to invest foreign. Sure like with any thing there is risk, you got to keep your eyes open, but my my how Itlay ( EWI ) has been ignored..yet it's beat the pants off our market since the OCT spin.. I would not recomend it this late, but take a look at it for fun. There is not one for South Korea, but a CE, KF looks like the better fund to trade in for there..shes on a roll right now..off her lows, maybe catch a dip this next week. My bet at this time would be on EWS, but I got to free up some cash to before I can make it. Jim Ps I'm just getting into market timing, but it looks like I finally found my niche..