Honestly, today's bounce back doesn't surprise me one bit. Almost all the charts I look at show most of the major indexes want to go higher. At some point, there will be reason to sell off and correct this bull run, but we need a real story. Anyone close to, or who has followed, the CPQ/DEC merger should not be overly surprised by Friday's announcement. The box makers have backed off quite a bit in the past few weeks/months. The growth being shown in many areas of the tech market is still substantial. The key leaders, Telecom, Semicon, Drugs, Internet are all showing strength, both in stock prices and in actual earnings.
The higher we get, the harder it is to take overweighted positions but we'll need a serious catalyst to force a big correction, IMO.
Any guesses as to what that catalyst might be?
Luc doesn't want to come by this thread because we gave him the business on his crash calls. As long as the bull is intact, I don't expect Luc to drop by this thread. I disagreed with Luc's crash calls and told him so. I don't think Luc likes people to disagree with him, FWIW. It's now months since his crash call and look where the market is! I very much liked having Luc on this thread. I am very disappointed he's gone but like many, when the heat get's intense, they get out of the kitchen.
Just my 2 cents,
Michael |
