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


To: Wren who wrote (2641)2/25/1999 1:12:00 PM
From: The Ox  Read Replies (1) | Respond to of 3339
 
I believe the biggest part of the "bubble" is that very few are looking at small caps. Analysts continue to say stick to the large cap/nifty fifty/nasdaq 100 type stocks. This is why the "bubble" is so excessive today. There are too many excellent little(relatively) companies that are trading at discounts to their growth. If a larger proportion of the money that's pouring into the market would make it's way into these emerging companies, a lot of the "air" could be let out of the "bubble" without causing a meltdown affair. I believe that it's the responsibility of the most visible talking heads' to direct investors into these other equities. Analysts today are too caught up in the momentum of the day. They need to stress to the newcomers that fundamentals do count. Momentum is a double edged sword and many are about to unwillingly commit suicide due to the direction of the so called experts.

JMO,
Michael



To: Wren who wrote (2641)2/27/1999 6:25:00 PM
From: Tommaso  Respond to of 3339
 
Many thanks for the URL on the Dreman column. I re-read his older book from time to time (Psychology and the Stock Market) and it's good to know that someone is on record saying these things is a widely-read magazine.