Tuesday, July 24, 2007

Heretical Action and a thought

Will the market open down tomorrow? That is my heretical thought.
It never does after a pessimistic day like the one we had today.
I think it will open down, but the telling feature of tomorrow is will it stay down.
My boldness leads me to say for at least one more day it will be down.

My thought of the day is that yesterday I was disturbed about Oil+Gas Machinery/Eqpmnt sector. RIG and GSF announced a buy out and the stocks rallied, then declined, then went into positive territory. I recommended SII because it was strong on Friday, managed to rally into the close yesterday, and these are record highs for the sector. But should have realized the market weakness, the phenomenal run the stock has had, and that it did sell off yesterday which I believe shouldn't have happened. So my thought is "if there is a doubt, wait for a better opportunity."

I'm sticking with it unless it sells off 8% . If the dollar does collapse there will be more demand for these type of companies that are heavily involved in oil.

And I believe my other selections will compensate for the momentary relapse.

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