Thursday January 15, 2009

If you are not in cash, I would certainly raise cash. Two weeks ago, the markets went up in lower volume and then last week the markets went down in increasing volume. The weakness has persisted this week. That is an ominous sign. Overnight the Nikkei was down 4.92 %, Hang Seng and Straits Times each off over 3.5%. This could get ugly.

AAPL certainly has a large question mark hanging over its head with Steve Jobs announcement.

The best way to spend your time these days is to objectively review your 2008 trades. I will post a review of my trades from 2008 this weekend. I think readers will find it very interesting.

Summary: Be patient and stay on the sidelines. If you must trade: sell short into low volume, non news breakouts and/or sell technically weak charts.
Markets: DJIA looking to retest 8000; NASDAQ already below 1500.
Sector: Looking for weakness in School Sector: STRA APOL CECO COCO
Stock: Watching short: AAPL, BIDU, CF, MON
Positions: none