wrote in message
...
On Sun, 18 Apr 2010 15:02:15 -0600, Canuck57
wrote:

As I said, the market is 30% fundamentals, 70% emotion.

Emotion always catches up with fundimentals in time. I would not buy a
stock purely on emotional fundimentals. I still look towards the bottom
line, as if the bottom line is good and improving, time for emotions to
come around is in your favor. But a hype dog today could loose its
momentum pretty quick like musical chairs.

--
I am really talking about the emotion of the market, not mine. Some
say I have none.
I won't buy a stock based on emotion alone but if I think one I have
is about to be impacted by irrational emotions I will dump it.
I will also buy a good company that has been beaten down by an
emotional response.
MO and HAL are two examples. After the settlements in the tobacco
cases MO was clobbered but when it was apparent people were still
going to smoke it went nuts. HAL got beaten down in the 2000 election
but when Bush attacked Iraq I knew Haliburton was the only company
that could really do logistical support and it was a nice run up. This
was the second time HAL made me a lot of money.



I remember in 2002 when I bought MO. Someone here said that was a bad
investment, always going down, etc. Wish all my investments were that bad.