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Strategies & Market Trends : Moomin Valley (formerly Troll-free Zone) -- Ignore unavailable to you. Want to Upgrade?


To: RealMuLan who wrote (1211)10/18/2005 2:50:43 PM
From: Moominoid  Respond to of 2852
 
Yup... though not a reversal yet... I think this is all part of the B wave in this rally... we will see.



To: RealMuLan who wrote (1211)10/28/2005 8:09:06 AM
From: Moominoid  Read Replies (1) | Respond to of 2852
 
Cramer woke up bearish yesterday :) Wonder if he'll still be bearish today? LOL

See You on the Dark Side of the Market?

By James J. Cramer
RealMoney.com Columnist
10/27/2005 3:07 PM EDT
Click here for more stories by James J. Cramer


Market Analysis

If you are going to get shaken out, go now, from stocks that look set to be painful, such as Yellow, minerals, oils and industrials.
If you aren't, fine -- but you have to know yourself and how much you can take so you don't give up at the bottom.

Back in my days at Goldman Sachs, when I would tell my clients that we were now on the dark side of the moon -- past the peak of the cycle and headed to the trough -- I was warning them that the pain would be too great for most of them.

I would say that because I knew that the tension would make them fold and that they would fold at the bottom.

I mentioned earlier that the bottom in Intel (INTC:Nasdaq - commentary - research - Cramer's Take) is at hand, but it won't move up.

But then again, Intel isn't all that cyclical; it is a secular grower.

A better example is Yellow (YELL:Nasdaq - commentary - research - Cramer's Take). I think Yellow's bottomed, but I could be wrong. More important, if you could handle that $58 to $40 decline, more power to you. Most of my former Goldman clients would have sold it out in the low $40s and hated me for ever mentioning the stock.

This is the time for many stocks like Yellow: minerals, oils, industrials. If you are going to get shaken out, go now!

If you aren't, fine -- but you have to know yourself. I know I found it impossible to hold through this peak-to-trough phase when I was at my hedge fund. I have to do it now for ActionAlertsPLUS because of my trading restrictions, which is the reason I run a diversified portfolio. Some stocks will work; others will hurt.

Until the trough has passed and we are back up toward the peak again, in a year or maybe two!