Steve, the stock market is currently driven by psychology and emotion,
few investors and analysts have such sophisticated thinking and deep understandings about the economy and the industry in general, in this market, even the good news do not count. With the Korean currency continuing depreciated, and the stock market continues its big drop
allover the world last Friday, I see short time the US market is still
running a risk of small crash ( more than 500 points drop in one day).
In the past couple of months, some big Korean companies started to show financial problems and some big companies even filed bankrupcy, now, with currency and stock market's big drop , it may caused a chain
reactions, which is mass bankrupcy. In Japan, the bank had lots of
bad loans, with the stock market's big drop, the problem maybe more serious, which is mass bankrupcy of banks and big corps. I hope this will not happen in Japan, otherwise it will cause a very serious problem across the world. Besides, when I look at the CPQ's graph, it is scaring , it looked to be trended to the lower side. Whenever it bounded, it can never hold. This is the same case for Dell. If CPQ break the $60 level, I will see $50 before it goes back up again. This is just my 2 cent opinion. Long term, I am very bullish on CPQ, but
just short term when all stock market droped seriously all over the
world, it is very hard for CPQ to be immune.So, we may see the DOW
trend down in the next one to two weeks until the market stabilize. |
