Today Markets took a tumble...........
Dow........... down 148...... -1.1%
S&P500...... down 21.......-1.4%
Nasdaq........down 43...... -1.65%
This sharp pullback was very healthy for this bull market.
Sharper the pullback.......generally a quick TURNAROUND.
Lot of BEARISH calls are being made INSTANTANEOUSLY......which means markets will be GREEN before we know it.
I take any pullback from OVERBOUGHT levels to ORGANIZE my portfolio from defensive stocks into STRONG stocks.
Today I made many trades.......selling off defensive stocks like MTU,MPEL,GOOG and bought TWICE STP,UXG,NVDA.
When markets gets overheated without any correction......I trade quite frequently all my profitable position...and buy oversold stocks as a defensive strategy.
My portfolio STP(Solar),NVDA(Graphics Chips),PMCS(Chips assorted),UXG(Gold),MOL.TO(Molybdenum Metal),PDN.TO(Uranium),RAL.TO(Oil & Gas).
As you can see I ALWAYS stay well diversified...even when I am trading same stocks over & over several times in a week.
My trading style is to know companies very well fundamentally & technically....so my COMFORT level is very HIGH.
I hope you all took advantage of todays selloff as a buying opportunity...which was long OVERDUE.
Never be afraid of corrections......because it corrects OVERBOUGHT conditions and give you a chance to buy strong stocks @ better price.
Good luck on Friday trades.
BLOG does not give buy or sell.
Saleem
No comments:
Post a Comment