Market Analysis & Market Traders

Investors are continually bombarded with market analyses, all of which fall into one of two categories:1. The first approach is backward looking. It constitutes "chart reading" of past behaviour.2. The second is forward looking. It anticipates interest rate changes, industry cycles, business and political conditions that might impact corporate earnings or investor attitude.Trading on market movements seems easier and maybe more PROFITABLE IN THE SHORT RUN, but it is MORE DIFFICULT FOR MARKET TRADERS to ACCUMULATE LONG-RUN PROFITS AND HOLD ON TO...

Read More

Investment is one of the most important variables in economics. On its back, humans have ridden from caves to skyscrapers. Its surges and collapses are still a primary cause of recessions. Indeed, as can be seen in Figure 1, investment has dropped sharply during almost every postwar U.S. recession. As the graph suggests, one cannot begin to project where the economy is going in the near term or the long term without having a firm grasp of the...

Read More