Re: Why are value investor types so rigidly opposed to TA?
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News AND noise. It was down 3 bucks yesterday before this news. The momentum player has no interest in why. Where does the fundemental guy get in or out? Nobody knows except maybe Boone Pickens [img]/images/graemlins/smile.gif[/img] How does a fundamental guy make markets? He doesn't! Crude is ultra volatile right now with many huge dips and spikes intraday. Technicians can profit greatly from this kind of action. The fundamentalist sits on his hands and position and takes whatever the market does to him.
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I'd guess that oil has no easily determined fundamental value, it's value is totally dependent on some very complex supply demand curves of a variety of disparate producers and consumers as well as the value of the U.S. Dollar. This is pretty much true of any commodity, a decade or so ago Buffett tried to predict the bottom for silver based on replacement costs and industrial demand and just succeeded in showing how hard it was.
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