dennis,
I am not sure that the selling in tech is overdone. I am really hoping for a sell off in the AM even though that means I get roasted more. If we dont get a "throw in the towel" sell off, then this might linger even longer. This wasnt a one day event, the NAZ has looked sick for a week plus, and I really really hate the nasty divergence between the DOW and all other indicies. I think that means when the DOW does correct, then the others will correct with it too, meaning that the NAZ may go even lower! I think the day will come that the DOW goes down 300, or the equivalent over a period of time, it has to happen. We cannot go higher by 1k every month, it isnt sustainable. I really worry that when the time comes for the DOW to go, the NAZ will too..
Notice the little boys starting to pop up, the two funds at work that were up today were value/lower priced funds while the big dog (J-20) went down 8%.
I think DELL at these levels is susceptible to even lower levels, with a PE over 70 there is more downside possible, and I dont even want to touch AOL. Many people were dumping it today and I think any relief rally does not last.
I hope the internets arent done, but the way it looked today, there were some big boys selling, meaning the end might be here in the short term.
What do you think?
I really enjoy Robert's comments, very insightful expecially about dumping a dog versus averaging down.
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