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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Smooth Drive who wrote (1245)	12/10/1998 7:37:00 PM
From: HairBall	Read Replies (2) \| Respond to of 99985

Eric: : I guess it was watching Gene Morgan's program on KWHY-TV, Los Angeles I use to watch the same business channel. Business about an hour before the Markets opened and after, then it converted to a Mexican Channel. I use to watch both KWHY and FNN now CNBC. The KWHY channel I liked better, because all day Market Gurus bought time and did their thing. It was great because you could judge them over time. Most came ever week and some every day. That is where I began to notice Richard Ney. Gene Morgan did “Charting the Market” at the end of every trading day. Regards, LG

To: Smooth Drive who wrote (1245)	12/10/1998 8:43:00 PM
From: TRINDY	Read Replies (3) \| Respond to of 99985

Eric, Thanks for an excellent post discussing the views of various market practitioners. Their positions on the relative merits of FA v. TA are well stated and, I think, about in line with what is the predominant view on this thread. If you have been reading the posts today, you may have noted that I stirred somewhat of a controversy by responding to Hiam's TA IS BUNK post in what was interpreted by Hiam to be a malicious manner. He even requested an apology from me. I refuse to get into those kind of discussions. I appreciated some of the follow up discussions, expressed support, and other posts on this important question of FA v. TA. I believe, and I think Hiam agrees, that it is important to consider both fronts. I distinguish between three basic issues, FA (which I consider longer term in nature), TA (short term), and announcement effects. What happened to ERICY was an announcement effect. They could still have excellent fundamentals for the longer term. I have seen such announcement effects go against a stock that had favorable TA indications. I would argue that the announcement effects are the truest of the random components that direct stock prices and there is little to guard against these effects through either FA or TA. But the issue of FA v. TA is extremely important. Should we be spending our time to in-depth analyis of the fundamentals of particular companies, examining industry trends, studying balance sheets, etc. or to employing and devising better TA indicators. My challenge to Hiam, to which he apparently took offense, was to analyze the case of the Drillers from an FA and TA perspective. I think that there is much to learn from this particular case. I read countless posts touting the fundamentals of the Drillers as they slipped into oblivion. I attempted to read as much as I could on the Internet and consult industry people that I know about the fundamentals. All to no avail. The fundies were pointing upward while the prospects sank. Obviously we know now that the fundamentals have changed dramatically for this industry. The point is that the fundies were and are a developing story, just like the TA is a developing story for this group. Neither is a constant. That is why you see so much attention to the developing fundamental issues on the Drillers thread. I see nothing to get angry about here and to quarrel over. That is why I have not responded until now. I suspect that none of us firmly believe that only a TA or only a FA approach is the way to go. Enough said. Regarding my indicators today, they are definitely turning negative, especially the DOW. NAZ SPX TRN on the cusp. A-D indicators slightly negative. My problem is that I don't know whether we are simply seeing political (impeachment) effects or real economic factors at work. Balance I think goes to the political side. This is a seasonally strong period of the year and it is difficult to short the frenzy that is going on out there. But, this certainly wasn't a good day for the bulls and it has been developing for some time. Cheers!!