If you trade stocks in the short term, one of things that you need to be very aware of is that sometimes the action that seems extremely stupid is the best way to make money.
If a lot of people with a lot of money are chasing grossly overvalued stocks, it can feel pretty dumb to throw caution to the wind and join the party.
There are reams of sophisticated fundamental analyses out there that purport to establish what a stock is worth. What you need to realize is that the correlation between a stock's 'value' and the price it is trading at is very loose in the short term.
In fact, there can be a complete disconnect between the two for very long periods of time.
If you are going to trade in the short term, you need to decide whether you are willing to do the dumb things that make money or are you going to stick to the "facts" and stand aside while the idiots run prices up and down.
It's all about sentiment, mood and psychology in the short term, and it doesn't pay to think too hard about fundamentals if you are playing in the short term.

James “Rev Shark” DePorre

Chartz and Table Zup @ www.joefacer.com.

Stay tooned for more this weekend. I've been away for a coupla weeks and time to dial it up. Seeya here later.










http://www.youtube.com/watch?v=guL3xWi6 ... re=related

http://www.newsweek.com/id/206166
http://www.msnbc.msn.com/id/31980862/ns ... ork_times/
http://www.newsweek.com/id/208633
http://www.newsweek.com/id/208164
http://www.msnbc.msn.com/id/31983839/ns ... ite_house/

http://www.ritholtz.com/blog/wp-content ... ebpage.jpg
http://www.ritholtz.com/blog/2009/07/lo ... ome-sales/
http://www.ritholtz.com/blog/2009/07/in ... -earnings/
http://www.ritholtz.com/blog/2009/07/si ... lly-to-64/
http://www.ritholtz.com/blog/2009/07/yo ... -earnings/
http://www.ritholtz.com/blog/2009/07/no ... the-rally/
http://www.ritholtz.com/blog/2009/07/re ... d-to-2002/

http://www.ritholtz.com/blog/2009/07/we ... nkfest-13/

http://www.ritholtz.com/blog/2009/07/th ... more-33370
http://www.ritholtz.com/blog/2009/07/fo ... -regional/
http://www.ritholtz.com/blog/2009/07/ha ... %E2%80%99/