To: JEB who wrote (2240 ) 8/22/1998 12:26:00 PM From: DebtBomb Read Replies (1) | Respond to
JEB, I think we will be OK for a couple of weeks and just trade in the Mad Cow Dow trend, up and down, unless China devalues or something happens in Japan. I'm in all cash now, took profits on a couple and closed my short positions. You definitely want to be cash ready in this market. To give you something to think about, after the crash we had last October, MSPG could have been bought the next morning for 18.00 down from about 32.00, that's what you want to be ready for. Do you know what the worst month is for the stock market? It's September, and we are one week away. Many claim that it doesn't matter what happens to the rest of the world, wrong, it does matter, the profits and earnings just aren't here, the rest of the world does have an impact, our banks have loaned plenty of money to failing economies, and cheap imports will flood our markets. Additionally, Y2K problems are coming, people will begin to panic and will pull their money out of stocks and even banks, companies will spend profits on remedies and will take losses. Once the US dollar peaks, the world will take profits and then our currency will fall SOME, then our markets will even be weaker, but we will fare this currency crisis better than any other country. The Euro dollar implementation begins 1/1/99, and I believe it will fail, all of those European countries with different economies, different ethnics, different agendas, all under one currency? Some of them will get the shaft, others will gain, I don't believe it will work and Europe will be hurting. Be careful out there, we are in one hell of a mess right now. we've been have fake rallys, it's mostly from short covering, and during the year, a lot of the Dow's gains have come from companies buying back shares. I'm looking for Dow 7200 by years end, maybe sooner. There isn't much to look forward to out there except that the internets are growing at an explosive rate, I'm also looking at the oils to scoop up after they bottom, maybe after October, or after a crash. I've been going short just as much as long. This all just my opinion based on experience.
