Mona took a breather yesterday and watched the voilahooo on financials. LEH target of 60 met in just 2 days. While the analysts are scratching their heads we made money from 52 to 60.
Countdown begins to the FED meeting next week. 2 more trading days before its here. As the whole army of analysts and economists all over the world speculate about the rate cut and how much... in mona's world we watch the market and stock prices carefully and pull the trigger when its due. For instance we watched the voilahoo on financials already ahead of the meeting and ahead of the earnings next week. And my pick of LEH went up 8 bucks- not bad in 2 days. 52 to 60! Would I buy ahead of the earnings. No, being ahead of the market and in the money I sell and hold the cash. So being ahead - and not panicking - buying low helps to be in cash when we may need it. But for some reason maybe next week if the Fed and the earnings (financials) -cause a pullback- I would be ready to pull the trigger ...
Today I am buying BID. Just an instinct- SOTHEBYS is done going down. 42 is good for me. Its a play on the global economy still growing and the art market bubble not bursting yet. I hope some of my art lover friends are reading and adding some BID in their portfolios.
The market will be lackluster today. Retail numbers were okay today. Autos did very well... but we see red across the board. Must be the consumer sentiment... ha ha. The fears of housing and subprime causing a recession still loom. I do think the fears are overdone. Gear up for a rally though it may get weaker toward september end as earnings come into the picture.
For now am done trading. LEH and AMGN were good money makers- for the week. SIRF broke out. ITs the GPS device chip maker. We watched it touch 16 and turnaround. 20 today. Did not take long for the market to realize this ones got solid growth prospects. When they fear the competition I buy. In at 17 will sell half my position at 21 and then let the rest ride... high.
August was portfolio poisoning... September is digestion and healing. October will bring out the health in the market as year end and holiday season appears on the horizon. Its funny once you figure out everything money is easy on the market. And when its not doing okay, there is opportunity for it to get easy- just have to make those moves- in and out.
Listen and pay heed... to mona's crystal ball...scroll down the archive and theres nothing to fear in this market.
Tutorials coming up... stay tuned. And lets have a great weekend... all!
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1 comment:
Agree with you on Sothebys..but take umbrage on calling the art market a "bubble" Art is a safer alternative than stocks and a better hedge than any commodity.
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