I've decided to quit listing the Strong Nasdaq and NYSE
Stocks every week. It was a pain to type in so many names; if you're interested in seeing
the list, just email me. Instead of doing the Strong Stock schtick, I'm just going to post up-to-date charts of the Nasdaq 100, S&P 500, Volatility Index, and
the Equity-Only Put/Call Ratio.
I use the Volatility Index and the Equity-Only Put/Call Ratio as sentiment indicators to figure out when the market is "low" and
stocks are attractively priced. In 2002 there were fourteen weeks where the sentiment was extraordinarily poor. (In 2001 there were only
four such weeks.) All these times offered great opportunites to
pick up shares on the cheap... you just had to be paying attention.
So far in 2003 there have been three times where pessimism predominated: the weeks ending January 31,
February 14, and March 14. Those were all great times to buy some shares at decent prices. The sentiment is very positive now, so clearly
prices are high and you would not want to be a buyer here.
Always remember: You gotta buy 'em when they ain't.
Previous Entry >>> Assuming the Fed's Pro-Inflation Campaign Succeeds