Frederick:
Thank you; and thank you for your views which I like and agree with.
I too was lucky to see Oct. drop as a buying opportunity-per my previous posts...
Without trying to be repetitious: Availed liquidity, world-economic-connectivity-dependability-with United States as the
leader, "information revolution", "peace", Japan's untapped economic reserves, an improving Europe, all inclusive strength at Home, Maestro Greenspan at the CONTROLS, a President who STILL believes "It is the economy stupid" (Split government and other factors) have combined to put us on a path able to receive and survive shocks, Asian Crisis included.
The flat yield curve you correctly referred to is another "weapon" available... What is significant; flatness is occurring while the rates are trending lower (We have seen what damage it will do when reveresed.) Furthermore, long rate is below the "neck line" of a Twenty year head and shoulder top and should remain there for foreseeable future. (Please note; I have never seen anyone talk about this chart I am referring to or about a H&S formation of twenty years wide! Unfortunately I don't have the chart anymore, but it is vividly in my mind.)
I like your peace/recession dividend discussion very much.
Finally, "Novell's future prospects." Last week, I bought enough shares under and around 7 to have an average price of 7 1/4 (traded
it for a small gain once.) From hereon, I will have a simple but stringent strategy;
1-NOVL trades higher, technicals turn positive, fundamentals improve and we get quality recommendation(s), Market stays positive--I will average up! :-)
2-If bad quarter is reported, price brakes down, 6 1/2 is taken out (a number I may lower by 1/8 or so) -- I will sell and accept my loss and will NOT regret or look back. :-(
After all, if turn--arounds worked all the time they would not be big winners when they turn!
Regards
Seren. |
