Rande:
No use kidding ourselves about it...We are entering the next downleg of the bear market... people have been waiting for this for weeks (at least all the technicians) Obvious signs of mania only go to add confirmation to underlying technicals..
One suggestion is to consider it on face value.. that is, believe what the market is telling us (it may be manipulated, but there is little one can do about it: IMO) ... it is saying oils/energy, metals, cyclicals, lodging, semis, health care, RUT, Japan, Brazil, yen, etc..It is also saying sectors are overpriced, Inet, drug, financials, S&P industrial, DOW, DAX, europe, etc...
I think it is wise that you went to cash... I went to metals, IT, oils, and various bowsers (rodneys).. better to avoid the slaughter than to be caught in it... but the bottom feeders will become active as money starts to look for value...after all, you can only turn your back on fundamentals for so long.
Personnally, I began to be "afraid" 2 weeks ago and was operating with a rapid fire trigger, but trying to find opportunities... E.g. today's QMDC.. not a bad move...for a reasonable percentage return.. Sure 100% in 2 days is great but it doesn't last.
I think that you agree in general and are seeking to find value. E.g. One of the rodneys that I have been mentioning began it's breakout today. |
