Definitely a play if we have a double close above 3520 on Comp.. RMBS will depend on broader sentiment and in my opinion broader sentiment will only come above 3520 area, that will give a good signal of move to my 4220 area.. a move that will take 1444 out and will open a new territory, two important events one is CSCO earnings today I expect them to be good and second with much higher intensity the election results tomorrow, I hope that one party may not sweep the Presidency and the control of the Congress that would be short term negative, a divided Presidency favourably with Bush and Senate in hands of Republicans with House in hands of Democrat would be ideal combo for hte market..
anyway this is what the pundits think of the voctory results..
<<Investors are expected to flock to tobacco, health care, pharmaceutical and defense stocks if Texas Gov. George W. Bush is victorious. Bush is seen as a loyal supporter of these industries and less likely to impose regulations that may crimp profits.
``The consensus view out there is a Bush victory might be better for the stock market,'' said Nick Sargen, J.P. Morgan's global market strategist for private clients, with about $80 billion under management.
Bush's push for tax cuts and some privatization of social security also pleases big business and many investors.
But under a Democratic White House, America has enjoyed its longest stretch of continuous economic growth -- and a soaring stock market.
If Gore wins, despite his recent slight lag in the national polls, government-backed mortgage stalwarts like Fannie Mae and Freddie Mac may attract interest. Pharmaceutical stocks are expected to dip in the short-term, given Gore's plans to cut the costs of prescription drugs. Tobacco stocks may also sag.
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I am long MO and MSFT going in to the elections that shows my bent clearly..gg |
