The big con

[striker]

Marc - what share are you talking about ?

[striker]

okay just saw the link to WES360 post.

[Mar-11]

maybe a fundamenatl system that focuse on p/e/forward p/e, but once certain low level of p/e reached. classify as junk and sale? But at what level of p/e? you could statistically test which level the share was at before most crashes?? Sounds a bit like tech analyse?

[Rams]

Thanks guys BUT all I want to know is this: can a share price or the entire market be manipulated by lots ao cash and the the best expertise?

[Mar-11]

possibily, but not for ver long and the longer the manipulator continues to manipulate the less it would be in their best interests, and the markets are effecient enough for more participants to enter the mkt and take advange of the manipulated prices, correcting the prices, and thus eventually move against the manipulator. But whats the point? a sound stragery would take advantage of something like this....if it had to happen.

[richardw]

Without any doubt whatsoever. The good thing about having a lot of money to manage is that there's an increased ability to influence the market. The bad thing is that your moves are much harder to hide. Every day the big traders move the market.

[Rams]

The point is this: should "traders" with very little cash be armed with very basic knowledge- surely that is like putting a loaded gun in the hands of a child(excuse the cliche).Should trading be restricted to a certain minimum trading capital.There are guys out there with bigger hands, bigger guns, bigger and sharper bulllets in vast quantities......

[Mar-11]

I think the point is that if you have a sound risk mgt system, even with premitive trading teniques over the long term(multiple trades)you should be successfull?

[richardw]

The market is like an ocean. You can't control the waves, but you can decide when to get in the water and how long you stay there.

[Mar-11]

couldnt agree more, and if you not confident swimmer, dont go to deep. mgt the risk, dont worry bout any thing else.

[Russ]

Are you feeling lucky,punk? (Dirty Harry)

[partridge]

Read John Kay's last book on this subject.