Market: This has been a good week for a break. I have toned down my trading ways this past week, and I am glad that I have. I did trade DRIV about 6 times or so as I feel very comfortable with its movements. As you know, I am a big fan of keeping a few issues around that you know well, for days such as these.
Everyone I spoke to this past week thought we would be in rally mode for a majority of the week, and it just has not transpired. We did close strong today, but enough so I believe, to create much buying confidence tomorrow.
Interest rates cause uncertaintly and the market is very uncertain. The 30-year is now at a 6 month high without much reason to reverse itself. This may be the time to start looking at some good gold plays such as NEM and ABX.
My favorite banking stocks, C & CMB continue to impress and well they should. Clockwork environmental trading. Just like in a recession you buy the straight-line demand items such as food stocks, in a rising interest rate environment, you must look at gold and banking stocks.
I sold off everything this week, at least everything of note, and decided to pick up DELL for an indefinite hold here through the split. Techs have been beat up and although you can make a case for DELL being over valued still, many analysts have been make that case of the past 2 years. They simply know what they are doing and how to do it, there earnings will slow to a pace that is considered only tremendous from outrageous .... projected to be at 32%. They drive the NAS and will lead it to further prosperity or participate in its free fall..... I am personally banking on a nice steady rise beginning within the next 6 weeks. I am betting on DELL.
This hold will also allow me some time to focus back on this thread and my work at TigerInvestor.com (TI). Identifying those beaten down issues and those ready to shine again, if only for a couple days. But as traders, we only need a couple days.
Let the market come to you, take a break, and wait for the stocks that you like most....there is no hurry.
Trade well.
Tj |
