Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Stock Market Bubble -- Ignore unavailable to you. Want to Upgrade?

To: John Patterson who wrote (2193)	10/20/1998 3:41:00 PM
From: Terry Whitman	Read Replies (1) \| Respond to of 3339

JP, I would hold on to that Rydex fund. IMHO, you have just seen a secondary top of the markets today. The DJI is right at it's 200 day MA, and the NAZ is at it's 50 day MA. Barring further manipulation by the Fed and the PPT, these MA's should hold as resistance... and it's down from here. Bear market rallies are fast and hard, but O so fleeting. The harder and faster they are, the more money that can be sucked in before the next selloff. Valuations, unfortunately don't really have much to do with the direction of the market- they do however tend to return to the median in the long run. And it's been a long run since they've been anywhere near the median. If that doesn't make you feel better.... then join the herd, go long, and hedge yourself. :) Regards, TW

To: John Patterson who wrote (2193)	10/20/1998 4:16:00 PM
From: Tommaso	Read Replies (1) \| Respond to of 3339

Well, I am not having much fun out of my Prudent Bear (BEARX) since I went whole hog after the first big rally. I am in fact still showing a profit, but would have enjoyed locking in that extra several percent. But I don't dare do any more than wait out this ill-founded rally, keeping my position. One thing that I have had to learn is that it will not do to try to take revenge on the market. That is, one must not take the market any more personally than the weather. The longest Indian summer, at least at latitude 36, always comes to an end. I am not about to get my beach clothes back out just because I missed a few nice days.

To: John Patterson who wrote (2193)	10/20/1998 5:10:00 PM
From: Terry Whitman	Respond to of 3339

For a little more comfort, read this: gold-eagle.com

To: John Patterson who wrote (2193)	10/20/1998 6:47:00 PM
From: Gwolf	Read Replies (1) \| Respond to of 3339

John, we may have to suffer through a bear market rally, but the Bear is not dead by any means. The selling has climaxed for now, but we have not seen bear market bottom capitulation, nor have we seen the market leaders return to market valuations that accompany true bear market bottoms. It's the bear market rallies that always do the most damage in the long run. Bottom line: we've lost momentum but the bear is without question alive and well. Gwolf