Is the market one huge ponzi scheme?

Discussion in 'Trading' started by hedgez, Jul 10, 2002.

  1. hedgez


    Remember those investments back in college where someone would ask you to invest in a pyramid and once you where able to find a certain number of people to invest below you, you would move up the pyramid. Eventually, if you got in the pyramid at the right time, you would move to the top and get paid by everyone at the bottom. Inevitably, the pyramid would crumble and all the investors that never made it to the top would lose their investment.

    The market feels like one of those pyramids. While the shrewd investors and insiders cashed out at or near the top, everyone else is left holding the bag. Just like the 90's had a huge melt up, the 00's is having a HUGE melt down. The snowball affect is causing stocks to crumble.

    Does anyone have a guess or a good reason why the snowball should stop anytime soon?
  2. jms2828


    2.5 years from now when we can get a democrat back in office...
  3. Rigel


    Clintons Ponzi scheme?
  4. do you know where EGO is? where can i find him?
  5. talk like this is healthy....for the market, at least.
  6. April 2000 - Nasdaq heads for the door...
    Jan 2001 - Bush enters office...

    Yup, Republicans to blame.
    Holding on for that Democrat to fix it.

    P.S. - They're all the same.
  7. Why assign blame? Who cares if they go up or down. Just trade 'em in the direction they are traveling. Shorting stocks is a viable investment strategy. No whining about bullets either. Anyone could have shorted into the rally last week.

    Indeed, where is she (Ego) now?
  8. No points are awarded for calling the Market a Ponzi scheme at this late date.

    If you weren't calling it in 2000, it's just noise.

    And Ponzi was probably honest by comparison.
  9. Rigel


    While the cat was away the meece's played.
    Things are different now.
  10. like chas said, I think this kind of market deflation is healthy. My understanding is that it is ok to pick a zit as long as it gets disinfected. All this new legislation against corporate malfeasance is the disinfectant, hopefully.
    #10     Jul 10, 2002