Monday, October 15, 2007

Markets forcing "a cautious tone" ????

Today's tape is forcing me to take a "very cautious approach to trading"......

This means " buy the dips and sell the rallies "...for now.....

I am NOT SURE but it "feels like a topping action may be developing in the markets".....

Chinese stocks have gone "too far for a long long time.....a less exposure is prudent"

In Chinese stocks I will stick with "quality & strong stocks with solid future...which is lagging in RUNUP"

I did few more trades today...sort of cleanup & repositioning in what I know & feel comfortable with...

Sold all XFML and took a $1 per share loss...it is stuck in the mud...going nowhere..and also low quality..imho

Bought EGO my cost $6.85...need exposure in GOLD as a defensive approach.....

Bought NMX four times today my cost $128.60.....my second largest position just below RIMM.

My portfolio now :

RIMM,NMX,VMW,LDK,SINA & EGO......

All the big names were down big today.....

GOOG down $17+...
BIDU down $8+....
RIMM down $4+...
VMW down $4+...
NMX down $3+
ICE down $3+
WYNN down $4+
LVS down $4+
NYX down $1++
GRMN down $1++
WFR down $1+

On the positive side all the Chinese petroleum companies...were UP $15+++
BRCM UP on new chip
SIRF UP on heavy volume

All Gold were UP......

Make sure you do FA & TA on all your holdings...it is time to go for "higher quality & leaders not also ran"

I alway's pay attention to tape......today the tape was negative across the board....decliners were leading by substantial margin.....down volume also had substantial lead.....

Please continue to do your own due diligence & ensure your comfort level...as markets may be more challenging than before......more so a stock picker market...with technical strength..know the support & resistance and play those perimeters.....

Good luck for tuesday.

BLOG does not give buy or sell.

Saleem

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