Stock Booyah - The Art of Investing

Another shot was fired across the bow of the Internets and tech companies today. Apple, Cisco, Google, HP, Sandisk, and Yahoo were down. Only Ebay was up. Although most of the non-Internet investors are glad to see them possibly get their comeuppance, it doesn't help the market as it removes some speculative enthusiasm. It's better if they just go sideways for a while, like 10 or 20 years.

I think today was mostly a bout of good old-fashioned profit taking, after a string of successive up days. The money is still out there, and it has to find a home. This market is still going higher, but I would concentrate on the beaten-up issues. Those that have done so well are still good holds, but I wouldn't make much of a new fund commitment in them unless the buy was just for a short-term trade.

Remember, we always have to be vigilant, in case our strategy runs into unexpected problems. Stay tuned.

The Market Pro

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