Dennis,
There are still stocks in a bear market that are going to rise...
Think of it this way.. Are you buying DELL or any other stock for tomorrow, the week or the month? Or are you buying it based on good fundamentals and that you want to own it at these and any prices..
I know it sounds stupid, but there are times I buy options just for the day/week etc and not because I want to own the company or want the instrument for the longterm.
If you like DELL and its model and company, then even if we see dips etc, the stock over the long run will continue to do well. Until somthing changes, I want to own DELL so at these levels I feel comfy knowing that even if we go to 7400 and DELL goes to 100, I still think the company will outperform and lead going forward.
If you want to wait until after the split that is cool too, I plan on getting in after the split too, if I see any pullback.
These developments we are seeing on DELL are positioning it for market share gain, and even in worst case senarios (like China) it is still benefitial for the company to have a plant there for cost components.
If you have some cash, take a little and buy an option, one or two contracts. And be nimble...
I get nervous as well, this market makes me mad, why are we so sensitive to a country in which we have zero contact or trade with? It would be like having Greenland devalue its currency (I know there arent any there).
Excuses IMO.. |
