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


To: pater tenebrarum who wrote (10432)4/9/1999 3:55:00 PM
From: Terry Whitman  Respond to of 99985
 
>>the author of the report himself is btw a great example of what i am referring to when i speak of disbelief and caution. <<

LOL- I know what you mean. You can count me in that group of cautious and disbelieving. Unfortunately, it has not paid well to be cautious and disbelieving for quite some time now. I have only been in the disbelieving camp for about the past year -from roughly about the same time as the A/D line began falling. It has been my strategy to protect my assets since then.

The third and final phase of a bull market is the most difficult period to pick winners, as the stragglers are systematically picked off from the pack and devoured. I have seen example after example of this happening. The money from the sales is adding fuel to the untouchable stocks, and the speculative ones.

The speculative fever though is still alive and well for now, as can be seen in the internet (imagination) stocks. Very reminiscent of the Biotech fever of 10 years ago.

For an 'After' the mania picture, view some charts of formerly popular biotech charts over the past 10 years. Here's a few examples-
iqc.com
iqc.com

It would have been nice for the author to have provided some detail on how that sentiment data was arrived at- but it does look logical to me.

TW