The PP as Security in a Politicized World Economy

[TBV]

John Hussman's latest commentary (the first paragraph especially) offers an apt description of how central bank and government intervention are part of everyone's expectations these days.

http://www.hussmanfunds.com/wmc/wmc120730.htm

A press release from the usual suspects, or the lack of one, seems able to move markets as much as traditional earnings reports, employment stats, or inflation rates (at least in the short term.)  What is a market timer do do when otherwise sound market analysis can be turned on its head by more quantitative easing, a new stimulus package, or yet another announcement that the European debt crisis has finally been tamed? 

Never has the PP's agnostic approach as to what lies ahead felt more right.

[MediumTex]

John Hussman's latest commentary (the first paragraph especially) offers an apt description of how central bank and government intervention are part of everyone's expectations these days.

http://www.hussmanfunds.com/wmc/wmc120730.htm

A press release from the usual suspects, or the lack of one, seems able to move markets as much as traditional earnings reports, employment stats, or inflation rates (at least in the short term.)  What is a market timer do do when otherwise sound market analysis can be turned on its head by more quantitative easing, a new stimulus package, or yet another announcement that the European debt crisis has finally been tamed? 

Never has the PP's agnostic approach as to what lies ahead felt more right.

Just like Soylent Green, markets are made of people, and thus many difference types of market manipulation and distortion will always be present.

Nothing new there.

[MachineGhost]

A press release from the usual suspects, or the lack of one, seems able to move markets as much as traditional earnings reports, employment stats, or inflation rates (at least in the short term.)  What is a market timer do do when otherwise sound market analysis can be turned on its head by more quantitative easing, a new stimulus package, or yet another announcement that the European debt crisis has finally been tamed? 

A robust market timing strategy takes into account those effects as they have been occuring as long as stock markets have existed.  Fortunately, theres footprints in the sand or the cosmos if such is important for reducing risk.  However, if you're asking if that stuff can be quantified to the level of "sound market analysis", not for 99% of people in the markets.  It may not even be necessary depending on your time frame and risk tolerance.  A lot of people think trading or investing needs to be complicated to be profitable.  In my experience, the more risk you can quantify, the lower the risk you can have...  gains are sort of fixed and immutable like a natural law.

[Coearth]

Speaking from a trader perspective, I find that nowadays, market timing seem to work better only for shorter timeframe, within a few hours to one day, in between major news.

[AdamA]

Just like Soylent Green, markets are made of people...

Are you implying that Soylent Green is made of people?  People!?


http://www.youtube.com/watch?v=8Sp-VFBb ... ata_player

17 secs