Bob Prechter: Bullish for the 1987 Crash

» Kirk - Bullish for the 1987 Crash

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To:da_cheif who wrote (11405)
From: Allan P. Harris Thursday, Oct 23, 2003 7:54 AM
View Replies (1) | Respond to 11416 of 11421
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During the days and weeks prior to the 87 crash, I was practicing law in Atlanta, but an avid consumer of Prechter's $30/minute call-in service. The week of October 12, I had tripled my money in puts, recommended by the service. On Friday, October 16, about 1PM, I called the service and was told in no uncertain terms to close out all puts and go Long, if that is, I could get through to my broker. It's wasn't Prechter through, one of his lieutanents, who gave me that sage advice. So what would have been a fortune in OEX puts got sold, but I didn't have the conjones to buy calls in the face of the Friday decline. I'll never forget that day, it cost me five more years of being a lawyer.

A

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To:Allan P. Harris who wrote (11416)
From: Dick Weigel Thursday, Oct 23, 2003 8:55 AM
View Replies (1) | Respond to of 11421

Good one Allan. Our calls on October 16, 1987 must have been minutes apart (same advice given of course). I don't remember him being that negative in his letter prior to the sixteenth, though. I used the hot line call that day just to confirm the fact that he had definitely lost his touch.

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To:Dick Weigel who wrote (11417)
From: Allan P. Harris Thursday, Oct 23, 2003 9:15 AM
View Replies (1) | Respond to of 11421

Dick, the way their call-in service worked at that time, you got the opinion of whoever answered your call, not necessarily Prechter himself. Still, whenever I hear claims that they were not Long into the '87 crash, I know they are lying. Prechter himself may have changed his mind from Long to Short on sometime that Friday, but as of early afternoon October 16, 1987, it wasn't being communicated to us paying customers. They were calling for a cycle bottom, that time, that day, that instant. I'll never forget it.

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-- posted by Kirk