5 replies to this topic

[zedor]

While respecting the up trend and anticipating its end soon, its important to note that the new highs in the DOW are somewhat artificial with the FED money blasts supplying endless supplies of the USD.

The markets need to be looked at from all perspectives.

While the rally into the 2000 highs from the 98 lows was real this one from the 2002/2003 lows is not as real in the absolute sense.

I posted this chart on an other thread but its bears being watched so am posting as a stand alone thread.



Buyers of the new bull market beware.

[raleigh]

but I'm still in dollars.

[Islander]

While respecting the up trend and anticipating its end soon, its important to note that the new highs in the DOW are somewhat artificial with the FED money blasts supplying endless supplies of the USD.

The markets need to be looked at from all perspectives.

While the rally into the 2000 highs from the 98 lows was real this one from the 2002/2003 lows is not as real in the absolute sense.

I posted this chart on an other thread but its bears being watched so am posting as a stand alone thread.



Buyers of the new bull market beware.

-----------------------------------------------

Are U suggesting that the euro might be over valued? Or, that the value of the euro is relevant to pricing US goods and services? Beware of What?

[LeroyB3]

This chart gets posted all the time....why would I care? LB

[zedor]

This chart gets posted all the time....why would I care?

LB

Why would you care? Why would you not care that the money you get paid with is worth less on a global universal scale.
When gas is up at 3.70 all the news media turmpets that "when adjusted for inflation gas is really blah blah blah"


They of course never say that about the stockmarket.

Yes we have had a nice bull run from the 2002 lows but when looked at in terms of where we are from the 2000 top ADJUSTED for inflation we are nowhere near new highs.



7 years at 3% inflation a year is 23% so 1.23 x 12722 = 15,649 what the dow would have to be at to equal the 2000 top level adjusted for inflation.


SO why you care or dont care is your bees wax.


But ignorance of different metrics is not bliss in my view.

Edited by zedor, 04 May 2007 - 03:00 AM.

[LeroyB3]

Zedor, The information you posted has been posted many times and is well known to anyone who trades/invests regularly. There is no ignorance...it's just that it doesn't matter to trading, which is what this board is for. Best, LB