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Strategies & Market Trends : Value Line Investment Survey
VALU 36.55-0.1%2:31 PM EST

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To: KevRupert who wrote (69)2/14/2001 2:15:31 PM
From: OldAIMGuy  Read Replies (2) of 219
 
Hi A, Regarding sectors, I noted that 14 of the 41 "Worst Performing Stocks (latest 13 weeks)" in Value Line's Index section (page 33) are basically DotComs. Now, that's a big percentage of the total.

Many of them deserve to be right where they are, but it's indicative of a massive sector crushing. I'd think that the best of the badies might offer some value at this point. At least the sector would be worth investigating.

I've used this method with many different sectors before. Most sectors had much greater substance than the dotcoms, however. Notable a couple of weeks ago was that many of the "Best Performers" (same page in VL) were common carriers. In my contrary way of thinking, if there's an abundance of stocks from one sector on the Best or the Worst list, one should pay attention. In the case of the trucking companies, I would take the information as a serious caution that the sector was over-bought.

Best regards, Tom
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