Almost time to re-enter the market. The market opened sharply down and recovered after the Fed announced a 3/4 point rate cut. One quick comment on that. Not sure what type of house that my former professor is running. I would prefer to see the fed leading the way rather than reacting to every little thing (OK a 500 point drop isn't little) that happens.
I still think that the market is flat to down over the next few weeks if not month. But it is impossible to pick the bottom of a market. If you can take the long term pain, you should start thinking about putting your money back into the market. Financial stocks are going to be the first to recover, but they might still be pretty scary here. I still like my MO and I really want to by Home Depot, but I'm holding off for now. Bottoms take a long time to form. In 2000, it took months before we actually reached bottom even though there were several sharp drops.
There is still weakness however. Apple is touching the 130's in after hour trading. They had a good quarter, but their outlook was grim. That is going to be the theme for a lot of companies. Good earnings, grim outlooks. Thank god I passed on it at 195. Tech is going to be a hard place to be.
I guess maybe you picked a poor time to begin your project...
ReplyDeleteYeah, my timing isn’t looking so great. the good thing is that I have preserved my base for the most part while the market is down over 10%. So in reality, I’m way ahead of the game.
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