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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Mama Bear who wrote (35819)	11/11/1998 12:45:00 PM
From: Richard Nehrboss	Read Replies (1) \| Respond to of 132070

Barb, guess because of my brokerage account balance, and it's relation to my use of TA A mistake that many people make is violation of the following rule: Correlation does not imply causality. Take the following scenario from my portfolio: MSFT and MDT have done wonders for my account for the last couple of years. Theses are the only two stocks beginning with the letter 'M' in my portfolio. This is 100% correlation... hmmm I will buy only 'M' stocks from here on out... My ROI tells me that I'm better with my TA than fund managers. Now this is a simple case that can easily be invalidated, but make it much more complex with moving targets for rules, and you can get a lot of followers. Bottom line, the stock market is very close to a random distribution, and therefore, without fundamental data about the underlying issues, you cannot do better than a coin toss with TA. Richard PS My self-administered fund "R&R Growth" is up 81.08% since January 1. Yours? PPS Take not of the sentence in bold. Lack of recognition is what kept us in the dark ages after so much advancement by Greece. A renewed recognition has create the amazing world we live in over the last couple hundred years. Many still don't get it.