Sam,
The up channels from the September lows are being violated for my 8 (AMAT, ASML, KLAC, NVLS, ALTR, XLNX, LLTC, MXIM). Most have returned to trading levels that existed before the attack. I believe that we are at the beginning of a new bull market for tech stocks. If we move mostly sideways from here into Spring, there is a chance that there will not be any significant retracing of the recent rise. If we continue to move up at a less steep trajectory and hit $60 for AMAT in Feb, Mar, for example, then I will look for a 20-25% pullback from those levels.
I am concerned enough about valuations to stick with my 80% invested level. If I get to take profits at my target levels (previous posts) next year, then I will probably try to use the 20-25% pullback to get to 100% invested. My target prices and the pullback % are not as solid as my buy levels were. At some point, I might try to use covered calls to get me to 100%. |
