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

To: J. W. Schneider who wrote (6274)	7/30/1998 4:00:00 PM
From: Investor2	Respond to of 42834

I can't get the link to work. Best wishes, I2

To: J. W. Schneider who wrote (6274)	7/30/1998 4:06:00 PM
From: Allan Harris	Respond to of 42834

From the "Crash Index" authors: ON 7/24/98 THE PITBULL CRASH INDEX HIT A -10 The first rule of the PCI.... DON'T PANIC!!! What is the Pitbull Crash Index, (PCI)? The Pitbull Crash Index (PCI) is a warning indicator developed by Henry Ford in 1987 prior to the crash and is based on an algebraic summation of the number of NYSE new lows and whether or not the NYSE has been advancing or declining over the previous 5 days. This is a very effective monitor of market internals that can show situations setting up that should raise the investor's awareness and allow them to take some precautionary actions until the all-clear is sounded. It is published daily for subscribers and disseminated on a once a week basis to over 60,000 investors. It was back tested over 25 years of data BACK THROUGH 1960 and since 1980 has signalled 10 times and been WRONG 6 TIMES....The last time it signalled was in 1994 and it was WRONG then. SO IF THE PCI IS WRONG 60% OF THE TIME, WHAT GOOD IS IT??? The PCI is an early warning system to indicate a possible bear market. False alarms are not only anticipated, but welcomed because when they occur it indicates that the public perception may be primed for a bear market decline, rightly or wrongly. If wrong it is usually followed by a sharp rally. When it is right, you have one to two weeks to get your affairs in order. THIS SIGNAL DOES NOT MEAN TO GO OUT AND LIQUIDATE ALL OF YOUR HOLDINGS TOMORROW MORNING. IF IT IS REAL, IT WILL BE FOLLOWED BY MORE -10 DAYS IN THE COMING WEEKS.