Friday, May 21, 2010

What goes Down..MUST come UP......

CNBC pundits were very wrong in saying that "we will NOT go UP for months"...Guru Gary Kaminsky....

Guru Jimmy the Cramer predicted another 1000 point drop in Dow....

I wish they do not go on CNBC & PRETEND to KNOW more than ANYBODY......

Market always TURNS when everybody is so SURE that it cannot......

This was a FEAR based ROUT..which had to end...... IF you must know how bad it was...S&P 500 was Down 13.44% High 1219.80 low 1055.90 & Nasdaq Down 14.57% high 2535.28 low 2165.79.........

Indices are UP 1%+ so far.....

Gold Down $10.80 to $1177

Oil Down 8 cents to $70.78

Canadian $ UP 91 tick to 94.64

VIX Down 14.78% to 39.02

In my portfolio :

Bought CRUS @ $12.70

Portfolio is CIEN,CRUS,JDSU,SNDK

Most stocks are UP

BLOG does NOT give buy or sell.

Saleem

8 comments:

Michael said...

Saleem,

Close will set the tone for the market next week. What do you anticipate the market will close? I am afraid that pundits will try to put them down to negative close. I hope not.

Thanks for your direction in this totally nonsense opinions from those CNBC pundits. I listened to them this morning and did not get any direction out of it.

Is this technical bounced or bottom has set in?

Michael

Stocks100 said...

Hi Michael,

Thanks for your feedback.

Looking from technical interpretation.....S&P 500 went below the flash low & came back UP..this equal successful test of low & support was found.....

I personally believe that today's low should hold.....

YES..bottom is IN......

Saleem

Stocks100 said...

Hi Michael,

As to your question about close....i strongly suggest you focus on stocks to buy or hold....

Closing means nothing....IF you are making money.....that is what i worry about....

It is your portfolio which matters..sometimes it CAN outperform markets.....

Saleem

Michael said...

Saleem,

Thanks for your advise. I asked about the close since I am holding all long stock: SNDK, CLF, TSL and MRVL. My portfolio has bounced off from the low nicely, so I don't know if I need to buy VXX to hedge my portfolio or not.

I buy to hold (at least for a short period till seeing profit) not a day trade.

Michael

Stocks100 said...

Hi Michael,

Holding protection like VXX @ RSI 70+ is a good strategy...BUT RSI right now is 30.63...in S&P 500.....

We ARE in OVERSOLD territory....

Saleem

Michael said...

Saleem,

Thanks and have a good weekend. I will forget about VXX till RSI >=70.

Michael

Michael said...

Saleem,

You are the winner! I thought market would be in red since there were only 15 minutes left. However, late rally changed everything. It is so tough to tell where the market will head to even Jim the Cramer with Harvard degree and million of followers got it wrong all the times.

I felt confident after your advise and did not sell anything. The late rally caught me by surprise.

Michael

Stocks100 said...

Hi Michael,

Thanks for your feedback.

Market patterns can be determined if you follow RSI trendlines....currently they are deeply oversold .....

@ or near bottoms strong stocks greatly outperform Indices..check your portfolio gains..they are many times ahead of indices....

It is important to have more faith in your stock picks than indices near bottom...

You have great selection of stocks....

Enjoy a well deserved weekend !!!!

Saleem