Ask Vendit Off Topic Questions

[Vendit]

It has been a while since I've been this confused on overall market direction.

I have a fair idea. I personally expect the market to trade sideways for 1 or 2 quarters. The range will be 2300 to 3000 or slightly above that level.

Greenspan can cut again this month by 1/2 to a full point but effects won’t be felt in the economy for 6 to 12 months. Any rate cut hype will be short lived and I will view any rally created by a cut as a selling opportunity. The NASDAQ is in an over bought condition and the economy is soft, high fuel prices…not too hard to figure out which way the NASDAQ will head from it’s present level.

Investors are increasingly focusing on stocks with earnings. Dot.com mania is over for the most part and the growth of Internet related stocks should continue to slow with only the cream of the crop ultimately surviving.

This is why I am focusing on low PE brick and mortar tech stocks. I view them as safe havens in market downturns because they have the added safety of a real PE.

I’m just playing the rolls.

All JMHO.