Sunday, February 15, 2009

Is there any life left in this market.....Yes Yes & Yes ???

Markets have been trending downwards since Oct 2007 when Dow closed @ 14093.08...that was 6243 points ago & in time zone it was 16 months ago......

6243 points drop is a 44.30% slump or 2.77% drop each & every month.....NOT your average bear market......it IS the- worst bear market since the great depression......

So..... if you are feeling depressed.... as your net-worth continues to take a "HUGE tumble"......try to understand WHY.....

Every economist on earth understands & acknowledges that this IS a "mother of all recession worldwide".......& WILL take time to come OUT of this horrendous SLUMP....

So what do I see in terms of my personal analysis.......

While Dow IS near bear market LOWS....most stocks are NOT......"which IS a GOOD thing" technically speaking......

Slow stochastic IS predicting a RALLY NEAR TERM......

New LOW list is contained to a near normal market level for a while.....

We are actually making some 52 wk HIGH list on a daily basis.....

CONFUSED????

I do NOT blame you......

Many stocks are @ new HIGHS on a daily basis...Gold & Education comes to mind immediately...

Many junior SPECULATIVE stocks are moving UP rapidly also ...which IS a telltale of a market getting HEALTHIER by the minute......

BUT......

If you are GLUED to CNBC for answer ..you will find NONE.....most pundits are either TOO SCARED or are TRADING for 50 cents GAIN......and have daily BUY & SELL recommendations for the same stock.....

Most CNBC traders only PRETEND to OWN any stock after it had a fast move UP...I see NO CREDIBILITY in their UTTERANCES....so you will be WISE NOT to tune in......

PS....I have taken CNBC out from my service provider....feel less TENSE & my mind is fresh for my OWN ideas....what a CHANGE !!!!

I will maintain a healthy exposure in this market based on improving technical picture....

Stimulus Package has passed US Senate ..which will give a HUGE BOOST to the markets worldwide..as goes US so goes the WORLD......

I am personally convinced that we ARE looking @ a turnaround in World economy by Q4.....

Markets will LOOK towards Q4 recovery pretty soon...& it will NOT be a 50 cents trading market......it WILL be a SUSTAINED move UP above 200 DMA......

Markets have correctly predicted a SLUMP for last 16 months.......

NOW..Markets AGAIN will ACCURATELY predict an IMPROVING scenario for the next 5 years !!!!!!

Economy is building a new world order where "profit @ all cost is over"

Accounting standards will be tightened to PROTECT small investors.....

CEO LOOTING of corporate money IS OVER.......

Some CEO will end UP in Jail ......

What IS bad for CEO WILL be GOOD for INVESTORS.......

Housing also will show sign of LIFE in Q2.......as SPRING IS IN THE AIR !!!!!

So.....

CHEER UP ...look hopefully towards the FUTURE......

FUTURE is MUCH brighter than what we ARE ready FOR !!!!!!

BLOG does NOT give buy or sell.

Saleem

5 comments:

standardshigh said...

Hi Saleem,

Always an optimist!

BDI pullback to 1908.

Business as usual in Washington.

Economic contraction still in progress.

Just have to wait it out.

Buy bargains! Look at GS progress!

Best Regards

Stocks100 said...

Hi Standards,

Yes...OPTIMISM is GOOD!!!!

Many stocks are healthy buy NOW....

Contraction is a BACKWARD looking indicator.....

Looking ahead to Q2 & Q4.....

Saleem

madmax said...

HELL TO ALL

Great optimistic posting thanks
We need o see some sustained buying going forward with some nice volume.
GS and APPL are both climbing up from the ashes of the crash!!!!!! smile

Still like my DSX and FRO oil tanker they should lead the recovery
cheers We are so Busy in DC driving our luxury cars---Hmmmm

Stocks100 said...

Hi Madmax,

Being a Taurus..I am a born Optimist...& love it !!!

Next week COULD be a start of something BIG.....volume & price action $$$$

Saleem

Diane Clayton LCSW said...

Hi Saleem,

I love your optimism as well. What is your take on wlt. I have been sitting on the sidelines watching too much cnbc. This stock looks like it has alot of upside potential.

Any interest in solars? I am so underwater with them. On a happier note, my trainings are becoming successful. I have had to semi go back to work. I think forward that wlt, ldk, flr have some potential. What is your take?

Regards,
Diane