Bull or Bear?

Cat or dog? Maybe Zebra. Shucks, I don't know, but my broker maintains telling me it is a bull and to purchase this and that. It looks like he is right - for a change. I retrieve he said the same thing in 1999 and 2000 and I ended up losing most of my money. But it looks good right now.

Yes, it makes expression good now and I have got been a buyer since the center of last year. Are this another bubble? The talking caputs on CNBC-TV state we are back in the bull market again.

My one regulation have been to purchase when the market turns up and it sure have done that; however, there is another regulation that have kept me from losing money and that is to sell when the market starts going down. The nice thing about this is you don't have got to be a market "expert" to cognize when this happens. All you have got to look at is the terms of one of the major indexes such as as the S&P500 or the NASDAQ Complex to see when they penetrate their 200-day moving average. One that I watch all the clip is the Investor's Business Daily Mutual Fund Index that is in the first subdivision of the paper. You don't even have got to purchase it as you can read it at the library.

Anyone who states you he foretells when or where the top or underside of a market will be is usually guessing unless he have a proved existent clip path record of making those phone calls for many bull and bear markets. Predictors are usually wrong, but tendency followers are almost always right. The ground is simple. Once the implicit in facts, whether physical or emotional, come up into drama and a new direction is establish the stock market will follow that course of study until another major set of facts come ups into play.

This tin be seen when the market goes very overbought and overvalued as it was in 2000 and very oversold as it became in October 2002. A new set of fortune were initiated and the general market took off in another direction. These long-term trends are relatively easy to determine by anyone who will to listen to the voice of the market.

Long term tendency following have a drawback. You will not be a buyer at the underside or a marketer at the top because of the clip delay, but you will never lose large sums of money of money as many did from 2000 to 2003. The usage of this simple method will not necessitate research or tons of useless information that Wall Street take a firm stands you need. You will be able to determine on your ain when a major tendency changes and then move accordingly to either bargain or sell.

Those who have got got been wise adequate to detect proverb the tendency change and became buyers last Spring and Summer and now have nice profits.

Yes, it is a bull.