Copyright (c) B.Achutha 1992 - 2000 Malaysia
Crash of 1997
Over the years I have developed several technigues to predict a market crash. More about hte behaviour of markets later in another section. One of the techniques that I use to determine a market slow down or crash is a function called Desirability. The Graphs below well sent out in March 1997 to several companies in the securities industry in Malaysia.
Observe how the Desirability function had dropped to almost zero by month 51. The time axis (x-axis) is marked out in the number of months form January 1987. The graph is for January 1987 to 1995. There are several other functions (equations) used to analysis a share price movement but I won't go into them here.
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