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Pure Play Method An approach used for estimating the beta of a project in which a ?rm (1) identi?es several companies whose only business is to produce the product in question, (2) calculates the beta for each ?rm, and then (3) averages the betas to nd an approximation to its own project’s beta. The Accounting Beta Method As noted above, it may beimpossible to ?nd single-product, publicly traded ?rms as required for the pure play Continue to download »
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Any good book on TA will explain these clearly to students of the markets Basically there are three distinct types or classes of indicators which provide insight into 1 2 3 The external monetary conditions affecting security prices This tells us what security prices should do The sentiment of various sectors of the investment community This tells us what investors expect prices to do The current momentum of the market This tells us what prices are actually doing Keep in mind that interpretation is more an art than a science so experience and instinct count for a lot GoldEditor What are your thoughts on the US dollar Reinhard The US dollar is in a secular bear market You can t open a financial newspaper or watch the financial news channels without hearing about the dollar bear This trend became technically apparent in early 2002 just like the mirror image gold price lift off yet the press typically provided little if any coverage With the US Dollar Index finally breaking the 85 support level in recent weeks and now with gold breaking through its US 430 435 resistance we are 