http://www.marketmonograph.com/a/goodman/keyIndicators/pvCharting.asp
Posted on 07/28/2007 8:44:50 AM PDT by frithguild
Thats what they said last week.
Why not? It works so well when describing how our Armed Forces are doing in Iraq, no?
There is the view that stocks have another 500+ points to go before it bounces. I wouldn’t jump in the market with both feet right now, but it is a good time to start accumulating a position and watch where it goes. Buying on these dips is where the real money is made. The US economy with excellent growth, low inflation, and low unemployment is going fairly strong even with the drag on the economy from housing. The market will be above 14,000 soon, the question is will it go below 13,000 first.
THE MUSIC GOES ROUND AND ROUND
Tommy Dorsey
I blow thru here
The music goes ‘round and around
Whoa-ho-ho-ho-ho-ho
And it comes out here
I push the first valve down
The music goes down and around
Whoa-ho-ho-ho-ho-ho
And it comes out here
I push the middle valve down
The music goes down around below
Below, below, deedle-dee-ho-ho-ho
Listen to the jazz come out
I push the other valve down
The music goes ‘round and around
Whoa-ho-ho-ho-ho-ho
And it comes out here.
The market goes round and round and the Street makes money
Whoa-ho-ho-ho-ho-ho.
http://www.marketmonograph.com/a/goodman/keyIndicators/pvCharting.asp
I didnt hear anything about stocks “rocketing” or “soaring to the top” last week either.
The market will go down another 1,000 - 1,200 by the end of the year.
I would wager large sums that the DOW will be well over 14,000 by the end of the year.
me too....despite all the nay saying from the MS media the DOW has been moving right along...
“Same thing with home prices. If you’re looking to buy, the so-called collapse of the so-called housing bubble is great news. Your dream home just went on sale! Attention all you Kmart shoppers.”
.....with housing, I’m not as convinced of the buying opportunity....a friend of mine thought he was going to clean up by buying a foreclosed house....the home owner had really let it go to hell ‘cause he figured he was going to get foreclosed anyway so he might as well live rent free for a year....then after the foreclosure the guy wouldn’t move out so my friend then had an eviction problem!....all that glitters ain’t gold in the foreclosure market.
It hates uncertainty, and we have a VERY uncertain 2008 election. You may be an optimist.
“The only news is bad news.”
Otherwise, it would be “good” news, or useful information. What one has to understand about the “news” business is that it is to sell you useless information for “free,” so that you need ever-increasing more information, until you are so overburdened and overwhelmed with raw data, you can’t see the truth of anything.
All prices are “impermanent,” and so rises and declines are not “temporary,” but the truth of the matter for the present. Economies change and grow, and so what is needed and profitable to do changes and evolves. That is reflected in stock market prices as an indicator of what is profitable to invest in at the time.
Right now, money is shifting out of the tangible assets like real estate and commodities and moving back into other innovations for adapting to the world. In many places, real estate has risen so fast and so high that nobody can afford to buy it anymore — and so it is unlikely to continue higher.
The better deal is to move to places of opportunity — like Texas, Ohio, Pennsylvania, North and South Carolina, New Orleans, etc., and avoid the high priced communities in which one’s entire salary goes towards the rent. Meanwhile, there are always places where the living is “free” — by comparison. But those places eventually get discovered and fully valued and creates the next sector “rotation.”
The strength of the economy is this diversity — to shift resources from and to productively with some dislocation and trauma until people figure out what the “market” is trying to tell us. Foremost, the market (prices) is information of what is economic to do — rewarding those who move in the direction of greatest opportunity and no longer rewarding those still trying to make a buck essentially perpetuating the problems of society.
These shifts are fundamentally healthy, causing and enabling the development of resourceful people who get better at processing information — so much so, that it is obvious that the old sources of information (mainstream media) now seem vapid and irrelevant but are still used by the demagogues of the world thinking to exploit it one more time before it disappears entirely.
That’s one of the big themes the old media is not going to report on because it is the news of their demise and passing.
“The kind is dead; long live the king.”
Mixing metaphors here:
As we say in Hawaii,
“Da Kine is dead, long live Da Kine.”
Just bookmark this thread :)
Cool, me too. I have a long collection of old bookmarks from doom and gloomers who were way off.
Yeah, just like those nuts that said the housing market was going to collapse. Bunch of idiots.
LOL, did you actually read their predictions? I always said there would be a slowdown and a soft landing with small declines or flat pricing. Granted the slowdown looks like it is going to last longer than I thought, but I will match my predictions against theirs any day. They were talking about 40% price drops in 6 months. Prices have only fallen very slightly nationally. The doomers were talking the housing market taking the economy into the next great depression. We still have 3.4% GDP growth. Sorry, the housing market is not pretty, but it ain’t the doom that it was painted by the bubble heads. So far it has been a soft landing as I predicted.
Eh? No doom and gloom here. I am just being realistic. The market will correct itself by about 8-9% by the end of the year.
I know, you weren’t really being a doomer, but the market is in much better shape than you give it credit. Overall, corporate earnings are coming in better than expected. There are problem areas in financials, housing, automotive, but there are more areas like technology, aerospace, defense, agriculture that are doing great.
Oh, and my housing prediction is -10% over the next 2 years as a nationwide average. And then flat for a couple of years after that. And it will only be that bad if government doesn’t come in and “fix” the mortgage loan process.
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