Don, terrific work as usual. Those tables clearly show why Cary is secure about the stocks he owns. Furthermore it made me feel much better about my buying LLTC today.
Today's Briefing.com General Commentary
No way to sugar coat Thursday's session -- it stunk. What little buying interest we had seen over the last few days disappeared completely after EDS dropped an earnings bomb on the market. Company slashed its Q3 EPS guidance by 83%. Stock reacted by plunging 53%. Rest of sector/market followed EDS's lead.
Though Nasdaq Composite held 16 points above its July low, same couldn't be said of the Wireless Telecom, Hardware, Networking and Semiconductor indices, as each tumbled to a new multi-year low. Scope and severity of decline reflected in the breadth figures, where decliners beat advancers by better than 2.4-to-1, new lows swamped new highs 287 to 19 and down volume crushed up volume by nearly 14-to-1.
Technically, the sector is short-term oversold. But given the anxiety over earnings, which isn't likely to go away during preannouncement season, it doesn't matter much. It's not uncommon for stocks and/or markets to remain oversold for extended periods, and this appears to be one of those times.
Until warnings season is behind us, buyers will remain scarce and the sector will struggle to stay afloat. It's just that simple.
Robert Walberg, Briefing.com
I think Briefing.com gets overly bearish on the downswings and too up when the market rallies.
RtS |
