Tuesday, February 12, 2008

Dow & S&P500 closed strong........

Market went UP on Warren Buffett offer to back municipal bonds.......

Market as usual showed mixed emotion about this news......SHORTS/BEARS were poking hole ..BUT market was relieved to see MAJOR interest in a troubled area.......

We live in a real world.....Warren is looking out for his shareholders.....

So...this was a business deal...NOT a social work to help needy....

2 out of 3 have already rejected...this business deal......

What is encouraging that their IS a market for our troubled municipal bonds.....and MAY have been POSTURING by the bond insurers to get "free money from fed/treasury"

This back & forth is telling the market that the bond insurer problems MAY have been EXAGGERATED.......

We shall see.....how it UNFOLDS now !!!!

In my portfolio :

AGU rating 45/45 target $67.63

CSIQ rating 65/50 target $23.24

CMED rating 80/85 target $54.04

LDK rating 45/80 target $40.72

MA rating 55/45 target $225.03

SOLF rating 90/100 rated for "breakout" @$17.07 for a target of $20.62

In other stocks :

RIMM rating 60/45 target $98.07

AAPL rating 100/80 target $135.69

Market internals were NOT as bad as the "reversal in the market may lead you to believe"

NYSE advancing stocks were 1976 vs decliners of 1170..45 new highs vs 39 new lows...

On Nasdaq advancing stocks were 1672 vs decliners of 1285..new highs 24 vs new lows of 82...

Also volume was heavy on both exchange on 133 dow UP day......low volume has been a constant KNOCK by bears on advancing days.........

Now...if we close green again on wed......then bears will be "quite worried as to the new strength in this market"......

Markets are "very painful in basing action...which we are currently going through"

Markets held UP pretty good today...inspite of shorts/bear trying to PUSH this market LOWER...but they failed.......a pretty good SIGN.......

Yes..I suffered alongwith everybody else ...from all green to all RED.....

But.....there IS always tommorrow !!!!

Before OPEN FSLR & AGU reports !!!!

Homework,patience & conviction.....will take US through this difficult period !!!

Comfort level needs to be monitored...as these GYRATIONS in markets are NOT going to go away anytime soon........

BLOG does NOT give buy or sell.

Saleem

2 comments:

standardshigh said...

Hi Saleem,

Nice blog today. Internals look surprisingly good. Better days ahead.

Standards

Stocks100 said...

Hi Standards,

It IS important to look @ internals on a daily basis....to decipher the real weakness or strength of the markets....

Everybody IS quite jittery these days....so there is a real temptation to over-REACT to changes in indices on an hourly basis....

Wed will be driven INITIALLY by WEAK retail numbers...then the real strength of the markets will take over....hopefully !!!

Saleem