DJ, Well, in that case, Welcome Home!!!
It is really a tough scene. My valuation model only shows the Market, based upon the Big Boyz, to be about 9% undervalued. However, I've got next year about 30% undervalued. As I have been telling folks in the last couple of days, the problem is that if a firecracker goes off, this puppy is going to tank. Nonetheless, I do not believe we are witnessing the end of the world, and the risk/reward ratio for the shorts is about to change. I can only hope!!
We got kids killing kids. It has happened so often that we are probably thinking of it as normal. Yet, we must look at the economic implications. Those implications have been strained to an extraordinary level. Yet, we have to determine if this is the norm?
I, as a single voice, will believe that this is not the "norm." Unfortunately, I stated last week where I thought the long term 62% retracement level is for the DJIA, and my work this weekend does not give me any comfort. The e-wavers are looking for a sharp wave 4 up, but then we got that nasty wave 5 down. As we believed that PS ratios were a "norm," we will come to believe that cash is king.
Just a Shortened view from the Swamp
TB |
