By the looks of it, I was wrong last week. We did not get the short rally I was hoping for; as a result, I'm still stuck in my long positions. Nevertheless, I remain optimistic going into next week. Why? Well, while others expect the markets to tumble further this week from more sour news I believe that these poor expected earnings have already been priced in. Everything has been oversold to the extent that any good news or even NO news could potentially rally the markets. I strongly believe in this because people already expect CitiFinancial (C) to have poor earnings this quarter, we have such low expectations right now that as long as C doesn't surprise us with even worse reports the market will stay afloat. Now I wouldn't be surprised if the markets crash lower Monday morning, but we could easily rally back up in the afternoon because of Apple (AAPL). People have overlooked the tech sector these past weeks, but AAPL should catch people's attention again with their Macworld conference and expo starting Tuesday. To sum it up, people are going into next week with such low expectations that NO news could=GOOD news and GOOD news=GREAT news!
Sunday, January 13, 2008
BAD+0=GOOD
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Author
- Richard
- Edmonton, Alberta, Canada
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