Why one woman is eager to buy Twitter shares

Why?  Because she missed out on Apple and Facebook.  Yep, that’s it.  Here is the article:  http://stream.wsj.com/story/markets/SS-2-5/SS-2-374835/

Now, this sounds similar to the old saying “when the shoeshine boy gives you stock tips get out of the market.”  Why?  At that point everyone who has money to put in the market has already put it in the market.  Thus, no more upside.  Here is a 1996 article on that subject:

http://money.cnn.com/magazines/fortune/fortune_archive/1996/04/15/211503/

And a 2012 article:

http://money.cnn.com/magazines/fortune/fortune_archive/1996/04/15/211503/

What do I think?  In the long run, fundamentals matter.  In the long run, companies must earn a profit, they must make more profit with less operating assets, they must have a business model, they must be a market leader, etc. in order to have favorable risk adjusted returns.  In the short run, have fun trading with the changing moods and measurements of “the market.”

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