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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?


To: Robert O who wrote (25792)10/27/1998 11:08:00 PM
From: Gottfried  Respond to of 70976
 
Robert O., the Motley Fool has a method like Dogs of DOW using only
four stocks. Results back tested to '71...
geocities.com
Performs better than the DOW over time.
It's called the Foolish 4. fool.com

There's a web site dogsofthedow.com

I do not doubt at all that it works over time, but not every year.

Besides, doubters can easily back test the method. It must be very
difficult not to second guess the method and start to actively
manage the investment.

Gottfried




To: Robert O who wrote (25792)10/28/1998 7:30:00 AM
From: Gary Burton  Read Replies (2) | Respond to of 70976
 
Robert--No offense taken at all. TA types really couldn't care less what FA types think of TA. And I suppose vice versa. The reason I swung over to TA was mainly because i spent many years with the mistaken impression that the current fundamentals determine a stock's near term trading pattern as in if they're good the stock must go up etc.The trouble with that approach of course is that in a liquid highly researched stock, one is dealing with in effect perfect information and the buyers and the sellers know exactly the same thing--ie the price already reflects the information so why bother with FA at all. Instead, focus on people's emotions to the info. TA is really a measure of the crowd's collective emotion to the already well documented information. And in my view a better way to go. To each his or her own. TA works for me even though many years ago I started my first job out of nusiness school as a brokerage firm analyst.Of course at that time I too thought TA was voodoo.