I still don't this rally has legs, really.
Thats the CW I believe, even though posters here say investors are overwhelmingly bullish, I don't believe it... maybe cnbc has bulls on, but hedge funds and institutions I believe are bearish... just a hunch... and Zeev has a forecast of 950 for naz this year.
My feeling fwiw is that the new leaders broke out in october and their lows will hold, in fact I'll bet the next set of lows still leaves them 50% above october at least. These are nxtl, beas, cien, jnpr, the internets (ebay amzn yhoo), maybe merq, cree... this is my motivation right now finding these new stocks. Oracle is borderline, he has held up as well as yahoo really, but his sector is not as strong as the internet space so I'm leaving him off. Fundamentally I think merq is not enough of a unique value prop vs. software so I'm not buying him. But the others, the ones I own, I am holding. If we get a major decline I believe it will hit the biggies msft, intc, csco etc. After all, msft especially wasn't completely pummelled last summer where smaller stocks were. Remember back then the perception was that pretty much every small tech company was destined for BK. I doubt that sentiment comes back because despite the falling mkt, fundamentals are improving, slightly for tech.
Lizzie |
