TWELVE o’clock TUESDAY – Stock Market Report by Robert Holman | The DefensiveAdvisor.com | September
BULLISH … rating of 6 (0 - 4 is bearish, 5 is neutral, 6 - 10 is bullish). Still cautious.
CVS - Our position was just not working out, so I sold it at a -10.5% loss to have more cash available to purchase better stocks. Wall Street analysts valued the company favorably at the following prices --- $73, $80, $68, $102, $104, and $90, (an average of $86) --- since its 8/5 better-than-expected 2nd quarter financial results. However, the stock just did not respond positively afterwards, so I felt it was time to move on. Who knows when CVSs additional value will be realized?
REPEAT FROM LAST WEEK – “More good news is that the market always presents new opportunities. We will move into another stock soon that will give us nice upside potential.”
MY OPINION ON TECH STOCKS – For the last 2-3 weeks, tech stocks rose in price so fast that many were above their sustainable upper-range valuation. In my view, they have now fallen to their mid-range valuations. I believe we are at the area where the swift, steep selloff will end -- sometime this week – and price stabilization to occur on these powerful growth stocks.
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Opinions voiced in this post are for general information only and are not intended to provide specific advice or recommendations for any individual, without complete knowledge of that individual’s total financial profile. No strategy assures success or protects against loss. Past performance does not guarantee future results.