Comments on: PE Ratios…back to earth http://www.tasgall.com/2008/10/09/pe-ratiosback-to-earth/ Peering into the Cauldron of the Gods... Wed, 28 Sep 2011 10:20:57 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Quicksilver http://www.tasgall.com/2008/10/09/pe-ratiosback-to-earth/comment-page-1/#comment-1610 Quicksilver Thu, 09 Oct 2008 21:21:58 +0000 http://www.tasgall.com/?p=685#comment-1610 I should mention that 880 represents the highest density price of the S&P back during the 2003 consolidation near the lows. Today's market had a low of 909.19. Also, for options lovers, I'd like to point people to this classic article (though probably forgotten) about reverse calendar spreads as a way to play capitulation days (not that we've really had a true one yet). It's an interesting way to avoid bottom picking problems with straight buying. http://www.investopedia.com/articles/optioninvestor/02/081902.asp I should mention that 880 represents the highest density price of the S&P back during the 2003 consolidation near the lows. Today’s market had a low of 909.19.

Also, for options lovers, I’d like to point people to this classic article (though probably forgotten) about reverse calendar spreads as a way to play capitulation days (not that we’ve really had a true one yet). It’s an interesting way to avoid bottom picking problems with straight buying.

http://www.investopedia.com/articles/optioninvestor/02/081902.asp

]]> By: Jason G. http://www.tasgall.com/2008/10/09/pe-ratiosback-to-earth/comment-page-1/#comment-1609 Jason G. Thu, 09 Oct 2008 21:11:57 +0000 http://www.tasgall.com/?p=685#comment-1609 Are those P/E ratios based on trailing earnings, or future earnings projections? Different websites report different numbers, and the E may be up for debate... Regardless, I agree that prices are starting to make the broad indexes look more attractive. Those of us that are young will benefit from dollar cost averaging in bear markets like this. Are those P/E ratios based on trailing earnings, or future earnings projections? Different websites report different numbers, and the E may be up for debate…

Regardless, I agree that prices are starting to make the broad indexes look more attractive. Those of us that are young will benefit from dollar cost averaging in bear markets like this.

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