>>>LDP retreat from the 30 level to a low of 19 today was ghastly. Smoother sailing ahead hopefully.<<<
Sure was ghastly, but really no worse than the similar dip in February. It also was around a 50% retracement, from the low to high, of the very "strong/ghastly" up move that had then occurred. :>
Support again held at this retracement area, around 19 20... and at around the 50dma and longer term trendline. I will be a buyer if we get there again, and if not will still look for an opportunity to add to my position this week.
LDP had a very nice March, up close to 30% for the month.
IMO, it dropped hard because many investors had huge profits in LDP and profit takers overwhelmed buyers in the tech stocks last week. Also, early last week many with profits had still not sold and were still holding most if not all their shares, for it really looked as if LDP might break to new highs.
Also, IMO, the NAZ saw a selling climax on Thursday, and again in IMO held support and the longer term trend. The NAZ acted about as you would expect in a correction (though it all happens much faster than it used to). Only time will tell how it plays out, but my bet is that in the short term (over the next several days) we will see a rally in the tech stocks.
IMO nothing any bearish commentator has said this week is really "news". In fact, many LDP investors probably agree with many of the statements about "internet stocks", the borderline IPO's, the high valuations of Nifty-Fifty large cap tech stocks, et cetera.
I simply do not perceive LDP as a high-flying tech stock with a questionable business model; it's not all venture capital, and it's not all insurance and money management.
Is it new or old economy?
Hey, where's my dividend? |
