Kevin: We were right on when you gave our expert strategist a "F" in his stock selections. If cash is what he recommended, why did he even bother to name stocks? I'll give him a "G" for gullibility, both to himself and to his followers.
In the other thread, you mentioned the fear for Y2K corrections. It is true that this sector will have corrections. Maybe right after the Barron's baloney. However, if you are NOT on margin (or on small margin), you will be well positioned to weather any storm. Why? IMHO, here we go:
1.Positive publicity will bring new players into the Y2K sector. News on TV, in newspapers, in Wall Street publications, in Cyberspace hypes, in government hearings (They have ears that don't hear) and in the graffiti on the public rest-room walls all point to potential BUY orders which in turn will support share price and should limit the extent of the coming corrections.
2.Y2K contracts will come at an accelerated rate which have a tendency to paint a rosier picture than the bottom lines. Hence they should cushion the coming corrections.
3.Y2K earnings are coming in strong. The trend is definitely up, not down. Earnings increases tend to provide support to outrageous prices and soften the coming corrections.
4.We have been talking about the re-allocation of resources from the non-Y2K sector to this sector. Now our latecomer, Mr. Barron's, just confirmed it. Since money is the life blood of stocks, when money is flowing into this sector, how on earth could us longs expect deep corrections?
5.The technical picture of the entire sector is bright, with parabolic curves visible for real and unreal players. According the Mr. Newton, a trend in motion will continue until it stops. Question: Are we on the verge of stopping? Answer: Fat chance, according to tea leaves.
6.Numerical analysis indicates the years ended with an "8" are all bullish years. With the general market is at all time high, the likelihood for this thing to have a perfect record increases. Hence the odds favor more to come.
7.Shortage of real Y2K shares is real. Notice stock splits and banana splits are all over the place. Why the distribution rush? Answer: Because the demand is there! When demand (from retail and institutions) is there to suck up the available supplies, how could the coming corrections be anything but shallow? Did you hear what my venerable mentor just uttered to himself? His venerable Deepness said, "Shallow sh*t!"
Enough trash talks. Hence my personal take is: Stay fully (and prudently without margin) invested and use every dip to add to your position. This is the only way to create Y2K wealth, NOT just making pocket changes.
Risky: Your comment in the changing of mindset of Barron's is indeed deep stuff. This is what it takes to elevate us to a higher level, from Moon to Mars. Stunning observation! I tip my toolset.
Church Mouse: I've spotted this trend: The more you roar, the higher the Y2K will fly. You should roar in every SI threads to stuff money into the pockets of those who have ears that listen. We need more bagholders. We need to buy high and sell higher. We need uncontrollable exuberant. We need Y2K orgies. We need........ Need I say more?
Have a great week. I know that us longs will. The question remains: How fast are our cookies multiplying?
Wishing you all have the cookies and eat them too!
Regards,
Mad Monk
PS. SAF: your are on the right track. Pay attention to the OBV number from the institutions (i.e. big blocks). If these guys are willing to accumulate at the "ask" prices, how could you go wrong? Sell your concubines.
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