Thean - you and I have agreed on this point for some time. I don't know WHAT to think when people are saying that stocks are "holding up well" when down 3-5% today. GLM may be "holding well", down only 3-4%, but it was down similarly on Friday and is nearing lows.
I can't understand why some on this thread keep seeing "strength" in what is the classic definition of weakness - sector weakness, that is. As you point out, even the technicals are unreliable - another sign that should raise a red flag in everyone's mind.
Whenever I ask why people expect strength or expect "a runup", I rarely get a feasible response. The best reason I can think of is that there's much more bad news in this sector than in virtually any other. So a turnaround play may be in order, but turnarounds can be risky.
I'm happy continuing to ST trade or daytrade these stocks, but that's only because of volatility - and really nothing else. Yes, LT we may all do well. In 50 years, we'll all be looking back and saying, "Gee, why didn't I load up on those stocks when I was 30?" Meanwhile, DELL, CPQ, INTC, MSFT all continue to make tons of money for its lucky investors...
BC |
