In fact, only recently the margin was only a few $B below the peak values in March.
Look at the devastating results of excessive margin usage. Most of the stocks which bomb bomb by 60, 70%. Imagine buying Net objects at $3?, CRDS at 4.25? ELOQ at 4, etc...
though it looks like capitulation is happening in single stocks, the COMPX is heading way lower as no support is being provided.
Interest rate fears are surely refuelled by the GDP above expectations...
I read your note about COMPX 4500, in retrospect, and, as it failed to run above 4200 but turned heads made the situation worse....
hype and tout before earnings (and some preannouncements), but I don't remember many techs stocks which gained on earnings releases (except some big ones, including Yahoo, JDSU etc...).
Then when NOK is able to pull down a half of a big sector (like the semis yesterday) then fear is spreading. ...I don't see many new buyers... when would one buy stocks? On strength?
Or when the demise is likely to be over.
if at all, I buy some stocks with reasonable fundamentals at or below tangible book, but thats it... |
