Jerry,
Where did u disappear to, you are missing all the fun in this wild market. Met the Schaeffer at the Money Show in San Fran, talked to him for a while, gave him a hard time about the OEX Sept 980s he said they were under water and a sell reco should have gone out Friday.
Bernie thinks the market will go down to 7300 and then come back to break new highs. IRI's Director of Research Price Headley had couple of good sessions, he's a good speaker and highlighted the indicators they use to forecast market direction and individual equities.
They use VIX, equity put-to-call ratios, OEX pc ratios, etc.
Their sentiment indicators were all flashing overbought last week, that's why they switched their stance from bullish to neutral on stocks and bonds.
(Posted some of this on the Idea thread too)
Lot of big guns from Wall Street were speaking - Elaine Garzarelli, Joseph Battipaglia, Frank Cappiello, Michael Murphy, Bernie Schaeffer to name a few.
They had a session on Friday - "Wall Street Power Lunch" with a distinguished panel, here are some key points:
- they were all in agreement that this was a much needed correction and we might see a selloff to 7300-7500 and then onto new highs
- we are in the best of economic times, low inflation, high productivity and low unemployment.
- Alan Greenspan's new world - technology investments have begun to payoff
- PPI has been falling, we might even see disinflation
- deflation if it happens might be harmful for the bond market
- they mentioned IBM, INTC and DELL explicitly as great buys.
- small caps participating in this rally, very small selloff in small caps last week compared to the biggies
- no big selloffs and crashes expected until the interest rate picture changes
- they all mentioned inflation as their biggest worry
Taqi |
