In my last post, a couple of weeks ago I asked: Where is the dip, behind us or still ahead?
Well this past Friday had a nasty little drop . Will this continue next week or will it rebound from here?
Bad earnings earnings drove it down on Friday, hopefully once that news settles in this factor will loose its grip.
Stocks discussed here have taken a beating as well as the dividend payers that are only rarely discussed here as they are not traded. Taking a clue from the overall success of the dividend payers I will try holding onto some of these down stocks that were bought for a trade, as long as they are profitable companies.
We still did not see the S&P 500 did not drop to 1396. This had been cited by a technician as one of the Fibonacci numbers that if breached, signaled a greater drop going forward.
In summary at this point no trend is obvious to me, but it sure not a time for new investments, although some great stocks are now on sale.
What did I see in my weekend review?
The 10-yr Treasury yield is at 1.77
IBD (Investor Business Daily) has now sunk to: Market In Correction
Copernicus Systems: Is now indicated to be Short.
Moneys Flows still continue downward in all three portfolio’s, but perhaps they are reshaping in one, next week should clarify this action.
Currently my "Stocks for a Trade" now consists of:
(All gains or losses shown are the total since purchase)
AAPL -5.36% will still consider adding more if it drops further.
ETF’s for a trade are:
GLD +1.31% even gold has been hammered down a little
EWG -.19 down a little, but holding okay
SLV -5.96% silver hammered more than gold
A new category for stocks that still seem to be good candidates for recovery, but may need to be held for a prolonged period to do so.
ALGN -26.17% Ouch! This healthcare stock was knocked down simply because its revenue increase was less that expected.
What will I do?Simply wait this out. No new nickels will enter…expect perhaps for more Apple, even that seems unlikely at this point....but this a great company and this is the time to buy it at a good entry point. Perhaps that entry point price will get even better!
I know the market could well drop lower and additional holdings could go to the doghouse or be sold at a loss. But I am hoping that any drop wall not last long.
I hope you have a great week.