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

To: RWS who wrote (16511)	4/15/1998 1:14:00 PM
From: ratan lal	Respond to of 94695

RWS We just went thru another minor wave on OEX from 539.20 to 538.40 and back up to 539.21. Where is this wave in the ABC set of waves in EW.?? ratan

To: RWS who wrote (16511)	4/15/1998 1:19:00 PM
From: Byram	Respond to of 94695

Sign.of Buffet......... Not sure but it sure jives with Soros buying alot of puts 2 wks... ago I guess we'll just have to wait & see Byram

To: RWS who wrote (16511)	4/15/1998 1:41:00 PM
From: Trader X	Respond to of 94695

re Warren Buffet, I really can't say. I'm not up on the commodity silver enough to speculate on Warren's speculation there, but on his selling stock... I doubt he's a net seller of stock, all in all. And if he his, perhaps we should laud his timing, in a general sense. Perhaps he smells a bear in the woods, in fact I do too. But I don't think he's too concerned about grabbing the last ten percent of the bull market here. We could be in for a nice decline by mid-summer, and if you have the huge positions he has, you don't want to wait until the last minute to try and unwind them. As for me, I want to take advantage of this next wave up. But I'm a lot more nimble than Warren, also. tm

To: RWS who wrote (16511)	4/15/1998 4:33:00 PM
From: Chip McVickar	Read Replies (1) \| Respond to of 94695

RWS ---- Buffet's Silver Here are a number of reasons for Buffet's purchase: 1] undervalued commodity -- slack between mine production and demand 2] commercial use of silver is expanding within the high-tech arena 3] new batteries are being developed that use silver and can be recharged to full capacity in 30 minutes...new cars, etc 4] hedge for his holdings, against the instablity of world currencies 5] new euro-$ will be backed by a basket of commodities(including silver) to give some measure of substance to the euro's value 6] he's a miser Most Interesting part of the transaction is the fact he took physical delivery and did not lease the commodity. 1-2-3 would not require delivery to carry out a position and also less expensive. This leaves us with 4-5-6....my preferance is #4....I think he hedged his holdings with something solid and felt silver was a better value then gold. He took delivery as a hard asset and is willing to pay the fees to maintain his position. Coupled with this...is the purchase by Sorros of a Mexican Silver mine not to long ago as well as his significant holdings in Seven Seas Petroleum established a while back. It is very possible they know something the rest of us do not yet understand about the worlds unstable system of currencies. I believe it will take a significant event to scare the money out of these markets. Until this occurs and creates fear...the bull will continue. Currency crisis would be a big key to unlock that trunk. Floated Currencies are highly unstable....as we have seen. Rubin a few weeks back on the Jim Leher show...and I quote" ...We are in uncharted waters when it comes to dealing with the enormity of Japan's and Asias's currency crisis." As for #5....Thatcher and Sir Alan Walters wanted a solid base to the EMU and Euro before Britan would sign on....one of the proposals was system of commodity back pledges, which included silver and oil. If the euro$ is weak...they may have to prop it up with some sound basis and compete against the dollar in that manner. This would be administered by something like a currency board as recently proposed for Indonesia and in place in Argentina. Anyway...interesting Stuff Chip