How Do We Nail the Bottom?

Discussion in 'Trading' started by netedge, Oct 19, 2008.

  1. netedge

    netedge

    Now that I have given my opinion, here is a much more thorough discussion of the current "value" of the S&P put into a historical perspective. This is one of the best articles I have read on the potential of this downturn to be the "bottom" by John Hussman.

    http://www.hussmanfunds.com/wmc/wmc081027.htm
     
    #161     Nov 2, 2008
  2. MKTrader

    MKTrader

    If the period is comparable to 1964-1982 (and I think it may be), the starting year certainly isn't now. It's probably 1998, when the indices were higher than today. That means we're already 10 years into a sideways market.

    Also, the fact remains that the Dow and S&P are working off higher highs (2000 to 2007) and higher lows (10/10/02 to 10/10/08...a coincidence???). That means a long-term bullish trend is still intact, even if it's a weak one that's mostly moving sideways. Good ol' Dow Theory.

     
    #162     Nov 2, 2008
  3. MKTrader

    MKTrader

    Good stuff. Hussman is the man. His stock fund has soundly beaten the S&P and almost all other mutual funds and hedge funds for the last 7 years. His views carry a lot more weight than almost anyone at ET, because they're backed by a plethora of research and data. He's also both a PhD economist and real world investor/trader.

     
    #163     Nov 2, 2008
  4. Yay futures surging yet again

    this market knows only one direction: up

    just like 2005: buy all the dips. 100% up room

    all econ and earnings data better than expected

    Dow 14,000 in 15 months

    12K end of year
     
    #164     Nov 2, 2008
  5. Another 200 point rally today or even 500 points
     
    #165     Nov 3, 2008
  6. MKTrader

    MKTrader

    Instead of hijacking this thread, can't you start your own? The subject matter is determining if a market bottom is in place based on historical patterns. It's not a place to predict today's closing price.

     
    #166     Nov 3, 2008
  7. They always get moved to chip chat
     
    #167     Nov 3, 2008
  8. Ok, which one of those came true today? Futures, 9400 to low as 9275. Market has been going down and sideways today. ISM econ data was over 6% lower than expected.
     
    #168     Nov 3, 2008
  9. Short, based upon stocky's bull forecast.
     
    #169     Nov 3, 2008
  10. gkishot

    gkishot


    Maybe the rally delayed till tomorrow.
     
    #170     Nov 3, 2008