*AV*--True, true, true but the modest PEs of this sector (or at least the few I choose to follow) are justified based on present and future financials. We can't guarantee that Mickey D's is going to geometrically expand their market, rennovate all their stores, or come out with a new product that everyone WANTS (not needs). I believe the tech sector can come closer to these parameters. But I digress since it is all a matter of manipulation. I put the sell in on AMAT shares at 39.5 or better in case of a jump in price this morning but held onto the options. Sure enough, based on the after hours release of earnings, two things happened. First, AMAT was down on after hours trading by about 3/4. Second, lots of lemmings placed market orders for purchases at the open which drove the price up to close to 40. Now that the early risers were taken advantage of, we now have the retreat in price. I am back in at 36.5 for a non brainer 3 point gain in my pocket. Actually, I now have an extra 400 shares of AMAT courtesy of the "Mystery/History Market Order Lemming Theory".
And whose says you can't predict the future?? Courtesy of a friend, it was quite evident everything was being marked up in the sector prior to the open. Therefore, the price abuses were going to occur, which they did.
Andrew |
