Prophets vs. Market

An episode occurred recently of more than passing interest to those who, in lieu of using their own judgment regarding future business conditions, depend upon the several professional purveyors of business advice.

A gentleman, eminent not only for his striking comments on the progress of business affairs but also for the success with which he has sold them, recently informed the investing public who subscribed to his "service," that the time had come to purchase stocks for investment. Scarcely had this statement been printed and placed in his subscribers' hands, along with the delightful chart inked in many colors which usually accompanies such admonitions, when the stock market began a violent relapse which lasted for over two weeks, and carried stock prices down to the lowest levels of the year.

Fortunately, this oversight was soon corrected by the advice to sell securities, again accompanied by the mystic chart of many colors, and of profound scientific import to those who understand it. Yet this latter comment, issued during falling prices, is scarcely prophecy.

Those who, by following the original advice, find themselves several hundreds, or perhaps thousands, of dollars the poorer thereby, have at least the satisfaction of knowing that Science itself erred with them. The action of the stockmarket has thus been shown highly irrational and indefensible. One has only to inspect the Charts to become convinced of it.