SO..it is May...the much dreaded selling season till October......????
S0..you sold everything in May last year & felt very smart ????
Sell in May & go away...has no DEFINITIVE track record in last 10 years...as we keep moving UP to higher grounds.....
History is NEVER a good guide on Wall Street..as Wall Street keeps CHANGING......
Factually..... we slumped from March of 08 to March of 09..after making new highs in S&P 500....when we hit 1440 in March of 08 to 666 in March of 09..so full 12 months were washed out......but nobody could predict the intensity of "financial meltdown"
So..here we are in May of 2010......GS has been charged & Greece has become an issue for markets.....
BUT...GS is priced in & Greece bailout is ready to be signed off on Friday.........
Investor intelligence had the most bullish reading of 54% last Thursday...then market promptly corrected on Friday.......
RSI reading on Friday close is @ :
S&P 500 49.35
Nasdaq 51.04
Dow 51.21
Indices are close to their support levels.....major support exist in 50 DMA.......
I personally believe..... that markets are on the verge of making another run to new highs......
Worldwide economies are in "robust mode".....
Australia is looking @ 40% tax on mining profit to spend on infrastructure (Ports,Rail,Roads) & lowering corporate tax......due to booming demand from China & India...
Every country which i monitor..is showing GDP growth on a quarterly basis......
We have just about wrapped the aftermath of financial meltdown...GS indictment is the last straw of financial machination.......
Friday's correction was very healthy.......technicals are repaired & retested for support......
Any weakness is/has been a "buying opportunity"
I am extremely bullish going forward.......
Here is my $/sector allocation as of Friday's close :
RIMM 66.44% Tech/Smartphone
CIEN 18.32% Tech/Optical Networking
TER 9.24% Tech/Test equipment
RFMD 6.0% Tech/semiconductor
Yes....i am all in Tech..which is having extremely robust growth..still diversified in many areas of Tech........
Looking beyond corrections is very important..as we are in a major bull run........think one year out when buying anything......
Good luck with your OWN due diligence & comfort level.
BLOG does NOT give buy or sell.
Saleem
2 comments:
SALEEM
Lots of smiles today! MU is even up---Hurray
Great calls and nice blog CIEN is still a hold when do ya think it is a sell, I got a little at $18
Very Best to all
Hi C,
Thanks for your feedback.
CIEN is making new highs ..two days in a row....new highs begets new highs...so stay put....$25 is the lowest target ....
Saleem
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