Harvard MBA indicator!!
"Harvard MBA Indicator" can be said as a tool to extrapolate the direction of stock markets.
How this indicator works??
This indicator uses the data regarding number of passouts from Harvard Business School who are opting for jobs in Finance or Finance related sectors like Equity research,Investment Banking,Asset Management,Private Equity,Consulting,Advisory etc.
Now if the number of passouts opting for jobs in Finance Profile is more than 30% of batch size then "Sell" signal is generated as NYSE is set to take a dive!!!
& if number is less than 30% then "Buy" signal is generated.
More close to 30% implies caution..
Effeciency of Indicator:-
1)40% of MBA 2008 class chose for market-sensitive jobs(This was prior to great fall).From Dec 2008 to March 2009 is history..
2)30% of MBA 2000 class chose for market-sensitive jobs.
Post 2000 was doom-gloom in market which continued till 2001/2002.
Same was the case in 1987.
Thus there goes the Adage again-"Be In when all are Out & be Out when all are In!!"
How this indicator works??
This indicator uses the data regarding number of passouts from Harvard Business School who are opting for jobs in Finance or Finance related sectors like Equity research,Investment Banking,Asset Management,Private Equity,Consulting,Advisory etc.
Now if the number of passouts opting for jobs in Finance Profile is more than 30% of batch size then "Sell" signal is generated as NYSE is set to take a dive!!!
& if number is less than 30% then "Buy" signal is generated.
More close to 30% implies caution..
Effeciency of Indicator:-
1)40% of MBA 2008 class chose for market-sensitive jobs(This was prior to great fall).From Dec 2008 to March 2009 is history..
2)30% of MBA 2000 class chose for market-sensitive jobs.
Post 2000 was doom-gloom in market which continued till 2001/2002.
Same was the case in 1987.
Thus there goes the Adage again-"Be In when all are Out & be Out when all are In!!"
October 21, 2009 at 8:59 AM
good one..