Dancing with the Trend

February 2017

Dancing with the Trend

The Reign of Error

by Greg Morris

In 1987 a book was written, entitled “The Great Depression of 1990,” by Dr. Ravi Batra, an SMU professor of economics.  Sadly, I bought and read that book back then.  Batra was claimed as one of the great theorists in the world and ranked third in a group of 46 superstars selected from all economists in American and Canadian universities by the learned journal Economic Inquiry (October 1978). The foreword was written by world-renowned economist Lester Thurow, who said The Great Depression of 1990 is crucial reading for everyone who hopes to survive and prosper in the coming Read More 

Dancing with the Trend

0100111000100000

by Greg Morris

There are 10 types of people in this world, those who understand binary and those who do not.  Yes, the title is binary for 20,000.  I knew the title of this article would get your attention.  The financial media is possessed with round numbers more than I can remember.   Back in the 70s, the Dow Industrials bounced off (resistance) of 1000 many times and it was 1983 (10+ years) before it finally broke through on the upside like a homesick angel.  I’m not sure but I think intraday in 1966 it bumped up against 1000 also, but did not close there.  In the Read More 

Dancing with the Trend

Capitalization

by Greg Morris

This will not be about punctuation.  Have you ever wondered why most of the media focuses on the Dow Jones Industrial Index?  Some would say it isn’t a good measure of the overall market, including me?  Yet, it does a reasonable job of representing the overall market.  Same goes for the S&P 500 Index.  Let me explain. I used a great deal of stock market data in my books, primarily the daily series for the Dow Jones Industrial Average and the S&P 500.  Reliable data is very important for proper analysis.  I have seen references to stock Read More