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Strategies & Market Trends : Bill Wexler's Profits of DOOM -- Ignore unavailable to you. Want to Upgrade?

To: Bill Wexler who wrote (308)	3/10/1998 5:23:00 PM
From: Jim Roof	Read Replies (1) \| Respond to of 4634

<<There is absolutely no scientific evidence which supports the hypothesis that chart analysis will yield some knowledge of future prices.>> First off - there is nothing at all scientific about the markets anyway. Your statement is begging the question. There is also nothing scientific about fundamental analysis. History can only be used to derive trends - not certainties. Are you telling me that you are just as likely to buy a fundamentally sound stock that has been trading down for 2 months as you are one that has traded up for 2 months? Are you willing to tell me that you do NOT look for rallies upon which to short your picks here? What makes you thing a rally is going to fail and fall back? These are just little technical things that you do already. Now expand the picture just a bit and look not only at the day to day fluctuations but the week by week movements too. But then, when did scientific proof mean anything to you anyway? Jim

To: Bill Wexler who wrote (308)	3/11/1998 1:48:00 PM
From: Zach E.	Read Replies (1) \| Respond to of 4634

Bill, This is an interesting thread. I think that your picks are probably headed to lower prices in the longer term. However, I'm not sure if I agree with the following, There is absolutely no scientific evidence which supports the hypothesis that chart analysis will yield some knowledge of future prices. I think that O'Shaugnessy found that using high relative strength as a criteria (particularly when coupled with low price/sales ratios) has been quite profitable over the past 40 years in "What Works on Wall Street". I'm not sure if this is strictly considered chart analysis, but it does lend credence to the hypothesis that price momentum should not be ignored. Zach