Keep This Motto In Mind…

Well, we made it through Frances…but now
we have Ivan. AND…this is a double monster. It seems we have a big bullseye
on our back in Florida. Stay safe!

 

Notwithstanding TECH/SEMIS, the market’s action continues to improve. I don’t
know if I have to go further than that. As I have stated, as long as stocks
continue to work after breaking out, go with it. As long as the pullbacks are
minor, continue to probe. I will easily know when this rally aborts by
noticing leadership gagging…and that is not happening right now. That leads
me into TECH.

 

I have received dozens of emails asking when to buy TECH.
Cheap…cheap…cheap…that is all I am hearing. I will let the market decide
if TECH is cheap. So far, the market has spoke loud and clear. Here is a hint
as to how I will know when TECH may stop the bloodletting…and it is simple.
WATCH FOR BAD NEWS TO COME OUT…BUT TECHS RALLY OFF THE BAD NEWS. Keep in
mind, the motto here is: “IT’S NOT THE NEWS, IT’S HOW THE MARKET REACTS TO THE
NEWS.” Reactions to news in the TECH space continue to be gross. Just look at
the reaction to INTEL.

 

This morning, I am seeing NOKIA gapping up a bit on a better sales
announcement.. Gee…if form continues, NOKIA will warn in 6 weeks. I am also
seeing TEXAS INSTRUMENTS up even though they lowered numbers. Maybe this is
the start of the signs I would want to see. In any case, most TECH is in such
bad shape, even if they start to move, I would suspect there would be a period
of retesting of the lows before moving up in earnest. As always, I will be
watching closely as I do not believe the market can REALLY get going without
TECH/SEMIS.

 

Please tune in to FOX NEWS CHANNEL Saturday from 10 am EDT-Noon. I will be
appearing on the  business block which will be emanating from the 9/11 site
with special reports on how 9/11 changed the economy, markets etc.