Imagine situation ...

[rrr...@gmail.com]

Trying to understand nature of damn market by putting it into limiting
situations like mathematicians usually do.

1) Imagine that all stocls are forbidden to have P/E more than 1-2.

2) And flag as dangerous those stocks where P/E is negative. Kicking
out S&P, NASDAQ etc immediately as they are negative.

a) Do you think the recessions would be THAT severe in this case?
b) Do you think stocks would fall 10 times in 3 months ?
c) Do you think situations when the whole country economic activity
decreases/increases 2-4 percents PER YEAR but stocks increase/decrease
those 2/4 percents in just 10 minutes would be possible?
c) Don't you think that something is deeply wrong with the whole
market system if "Dow up 494 as Obama prepares to name treasury boss".
That's smells, sorry.

[Blash]

rrr...@gmail.com wrote on 11/24/08 7:00 PM:

> Trying to understand nature of damn market by putting it into limiting
> situations like mathematicians usually do.
>
> 1) Imagine that all stocls are forbidden to have P/E more than 1-2.

If you are limiting your universe to stocks with earning double the price of
the stock, you're not going to find ANY.......

[Pies de Arcilla]

On Nov 24, 7:58 pm, Blash <bla...@comcast.net> wrote:
> rrr7...@gmail.com wrote on 11/24/08 7:00 PM:

I just tried the Yahoo stock screener (it's truly horrible) and it
does appear that there are a lot of stocks which nominally have a P/E
between 1 and 2.

Examples: ZINC HIMX OMG L CE SHO MHJ

I don't know anything about most of these, but I do remember MHJ; it's
a Hong Kong jewelry company.