Tom, you are quite right about the 'bad news' aspect. i noticed also, that stocks like INTC and MU, both of which have recently suffered downgrades, are nevertheless accumulated when they come down. of course, 55 is an important area of support/resistance for INTC and i think it is important for the stock to stay at or above this level if there is to be hope for it's intermediate term trend. but the fact that neither the CPQ news, nor the INTC downgrade were able to shake the market speaks volumes.
we all hope to be out, or preferably short, when the day of reckoning comes. the insights imparted by the posters on this thread will surely help us to achieve this; but i fear that many people will be caught long when the big sell-off comes, and contrary to AG i believe a crash would be extremely harmful for the economy, regardless of 'proper policy responses'. and while the Fed seems eager to avoid a blow-off and the attendant consequences, i also believe it cannot be avoided, due to human nature. somehow we seem doomed to always repeat the follies of the past - this time will be no different.
regards,
hb
regards,
hb |
