CNXT/JJC:
Staying Flexible
11/15/00 4:35 PM ET
This Columnist Conversation presents a great gamut of views. I think a lot of the stuff in there depends on your time frame. Remember, I am neutral right now, so I am not perturbed by the Fed or by any of the action these last few days. I think the market has come down enough to rally, but when it lifts after two or three days I want to go. The crosscurrents are too nasty to hang on more than that. For example, I was thinking that this Conexant (CNXT:Nasdaq) might be a nifty pickup after the spinoff, as the remainder will look a lot like Broadcom (BRCM:Nasdaq) and PMC Sierra (PMCS:Nasdaq), but will be much cheaper.
But we have had a couple of days worth of this Conexant rally. So I want to wait because I am so sure that I will get another, better chance to buy it. I know that seems complacent if I love Conexant, but I think it is hard to love anything in a market that goes up for three days then down for three days. So entry price is very important. The market is making so many people with conviction look foolish, I would rather stay flexible. |
