Monday, November 3, 2008
The Turn
My short-term as well as long-term outlooks are now bullish. I believe that we have bounced off of a double bottom that goes all the way back to 2003. I recently put a large chunk of my money into a few funds. For me at least, now is a good time to buy in, as I have a long ways to go until I am even close to retiring.
Monday, October 6, 2008
Key Technical Points
Things are going great, huh?
A few important points to keep in mind.
If you draw a trend line all the way back from the 1995 low to the 2003 low and continue it until now we are pretty much there. If we break below this support point, I would say 950 on the S and P, then be ready for a drop to around 800 - 850, which would be a double bottom for the major 2003 bottom. That, would be a bummer. Good news though, the market hasn't been this oversold (RSI indicator) since 2003. Just because it is that low doesn't mean that the market cannot continue to decrease or stay the same. Obviously it is impossible to know exactly what will happen and I don't want to make an exact prediction, but there is not doubt that stocks are discounted right now and for younger people like myself, this is a great time to get into the market for the long haul (15-20 years).
A few important points to keep in mind.
If you draw a trend line all the way back from the 1995 low to the 2003 low and continue it until now we are pretty much there. If we break below this support point, I would say 950 on the S and P, then be ready for a drop to around 800 - 850, which would be a double bottom for the major 2003 bottom. That, would be a bummer. Good news though, the market hasn't been this oversold (RSI indicator) since 2003. Just because it is that low doesn't mean that the market cannot continue to decrease or stay the same. Obviously it is impossible to know exactly what will happen and I don't want to make an exact prediction, but there is not doubt that stocks are discounted right now and for younger people like myself, this is a great time to get into the market for the long haul (15-20 years).
Tuesday, September 16, 2008
SPX
The S and P could possibly go lower down to the long term bottom line of the downtrend and failed at creating a double bottom with July's lows. The market's P/E is once again at recovery levels of the low teens, but it has also been lower. Frankly, it just sucks right now for most of us. Sit tight, however, and buy huge drops like yesterday. Quick piece of advice, don't buy companies going bankrupt, thats real easy huh. By the way, I am starting a market outlook. I have backtested it and am very confident that it is successful in most cases.
Tuesday, September 9, 2008
ECOL
I am reiterating the buy on ECOL. It has pretty much reached the bottom line of the up-trend. For the past year, when this has happened it has rallied quickly, giving a quick profit. If you really want to try for the exact bottom then wait for 29 a share, but I tend to take what I can.
Computer
So I just got my computer back from the Apple store. They were surprisingly fast. I left it with them on Thursday and they called me Monday. Good stuff. I'll get back to more postings soon.
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