The DJI 30 is a fraud?
#1
Posted 17 May 2007 - 05:13 PM
#2
Posted 17 May 2007 - 06:14 PM
Alan Newman Contact Info
#3
Posted 17 May 2007 - 08:54 PM
of course the dow 30 is a fraud...never has so much been done to so many by so few.........the mupt uses the dow to keep most out of the market one way or another........if the dow were to have kept pace with the broader measures of market activity we would have the dow at 30 to 40 k now....intstead of later....Yesterday I came across this article by one Mr. Newman on the website SafeHaven.
I did not get a chance to cut and paste it since I was rushed for time, so I sat down
to do it now, but mysteriously his article is pulled from the index
I do not recall any such yanking of articles on SafeHaven. Must have hit a raw nerve
somewhere!!
#4
Posted 17 May 2007 - 09:12 PM
Edited by Vector, 17 May 2007 - 09:18 PM.
#5
Posted 17 May 2007 - 09:35 PM
You could always sign up for a free trial and ask him to send you a copy of the article. At least I assume you are referring to Mr. Alan Newman.......
Alan Newman Contact Info
Thanks for that info, TTHQ Staff!
One of Alan Newman's main point is that poor performing stocks are constanty culled in
favor of better performers. He listed a dozen stocks which if still in the DJI 30 would
result in a much lower DOW. Another point he made was that since DJI is price weighted,
it skews the average with an upward bias. For example if you owned equal dollar amounts
in IBM & Intel, and if IBM advanced 10% and Intel declined 10%, your portfolio would show
no change. But the same change would cause the DJI to skyrocket upwards since IBM has a
much higher weighting than INtel in DJI.
#6
Posted 17 May 2007 - 09:39 PM
poor performing comes before great performing.....neuman never figured that one out.....even professor hussman continues to fight the tapeYou could always sign up for a free trial and ask him to send you a copy of the article. At least I assume you are referring to Mr. Alan Newman.......
Alan Newman Contact Info
Thanks for that info, TTHQ Staff!
One of Alan Newman's main point is that poor performing stocks are constanty culled in
favor of better performers. He listed a dozen stocks which if still in the DJI 30 would
result in a much lower DOW. Another point he made was that since DJI is price weighted,
it skews the average with an upward bias. For example if you owned equal dollar amounts
in IBM & Intel, and if IBM advanced 10% and Intel declined 10%, your portfolio would show
no change. But the same change would cause the DJI to skyrocket upwards since IBM has a
much higher weighting than INtel in DJI.
May 14, 2007
An Optimistic Route to a Poor Market Outlook
John P. Hussman, Ph.D.
All rights reserved and actively enforced.
Reprint Policy
With the stock market currently reflecting a relatively rare set of overvalued, overbought and overbullish conditions, the potential for abrupt market weakness remains much higher than is typically the case. The Strategic Growth Fund has the ability to hedge the full value of its stock holdings using long-put / short-call index option positions, where no more than one of those options is “in-the-money” when the position is initiated. This is the stance currently held by the Fund.
Edited by da_cheif, 17 May 2007 - 09:40 PM.
#7
Posted 17 May 2007 - 09:51 PM
#8
Posted 18 May 2007 - 06:50 AM
Is this the plan for the summer vacation?poor performing comes before great performing.....neuman never figured that one out.....even professor hussman continues to fight the tape
You could always sign up for a free trial and ask him to send you a copy of the article. At least I assume you are referring to Mr. Alan Newman.......
Alan Newman Contact Info
Thanks for that info, TTHQ Staff!
One of Alan Newman's main point is that poor performing stocks are constanty culled in
favor of better performers. He listed a dozen stocks which if still in the DJI 30 would
result in a much lower DOW. Another point he made was that since DJI is price weighted,
it skews the average with an upward bias. For example if you owned equal dollar amounts
in IBM & Intel, and if IBM advanced 10% and Intel declined 10%, your portfolio would show
no change. But the same change would cause the DJI to skyrocket upwards since IBM has a
much higher weighting than INtel in DJI.
May 14, 2007
An Optimistic Route to a Poor Market Outlook
John P. Hussman, Ph.D.
All rights reserved and actively enforced.
Reprint Policy
With the stock market currently reflecting a relatively rare set of overvalued, overbought and overbullish conditions, the potential for abrupt market weakness remains much higher than is typically the case. The Strategic Growth Fund has the ability to hedge the full value of its stock holdings using long-put / short-call index option positions, where no more than one of those options is “in-the-money” when the position is initiated. This is the stance currently held by the Fund.