To all:
As stated approximately one week ago, I strongly believe that the techs are very overextended right now - that's not to say they can't go higher in the very short term due to Dow 10,000 mania. I think one would be able, over the next several weeks, to purchase RMBS at lower prices and we should easily see the low-mid 60's again. Since this is still dead money for awhile, with patience, one can time excellent entry points. Box makers are not in favor and there is tremendous upside resistance regarding INTC's chart. RMBS should reflect the lethargic movement of those stocks until we actually see RMBS product. We are heading into the "slow season" for computer manufacturers, so be prepared for 2-way trading with a bias towards the downside. Again, long-term - no problem based upon all the excellent fundamental news. But I could name, and so could everyone else on this thread, at least 50 excellent tech stocks where money flows are far superior than the money flows into RMBS currently.
I sold all my RMBS a few weeks ago except for the shares that I retain in my retirement account. I used to feel perturbed when I didn't have some position in RMBS in my regular accounts - but not anymore. There has been so many other great opportunities - why tie up money. I am a long-term bull on RMBS - please don't get me wrong but we are in for a long accumulation period. Having said that, I believe that timing one's purchases of RMBS, especially if I'm correct that we'll eventually see lower prices, can be easily done. As I 've said several times before, the bus hasn't left the depot yet and won't be leaving for awhile. Good luck to all.
jmanvegas |
