Market Talk:
Do you ever have a flying dream? I get them once in awhile. It can be a fun dream. Often when these dreams come to me, I am perfecting a particular technique or movement that brings aerodynamic lift and then flight suddenly happens.
When my daughter was just a kid we used to have fun in the pool this way. I would throw her as high as I could and tell her to work on an arm gesture to catch flight. It never happened but we had fun trying. Sometimes it got so silly that we would crack up laughing and try again and again, perfecting the ones that took her higher.
But in my flying dreams, sometimes I will fly back to my old neighborhood and try to teach my old friends how to fly. It usually starts out with a running start and then taking leaps with my arms out as far as I can. Then there's some unusual flipping out of a leg with the nuance of a turned foot in a certain position and arms outstretched and voila! flight happens.
In other dreams sometimes I just jump as high as I can and then believe I can fly and rather than come down, I float about longer than gravity would take and then catch the air and off I go, in amazement to myself and gawking bystanders.
These dreams, while not often, can be quite fun in dreamland.
However, there are some flying dreams that happen to go too far. Not all landings are graceful.
For example, sometimes we get too much altitude and then suddenly lose the technique that got us there. It could be the "belief" that we can indeed defy gravity . Suddenly falling victim to the notion of "what goes up must come down". Then as the fun flying comes to an awkward end we flail about and wake up with our arms and legs moving in the bed.
Well, take the market yesterday and today. After reaching all time highs, the Dow has faded below the 16,000 mark as of this midday Friday report. Some say the overall market got ahead of itself. Some say it's just a normal Friday's profit taking and will snap back after a slight correction.
Sometime the collective macro market is looking ahead predicting future sentiment for some unknown reasons or another. There is posturing by China over some uninhabited islands in the South China sea that both Japan and China claims ownership. China claims airspace rights and that is a potential source of trouble in the Asia pacific region with our ally, Japan.
Meanwhile Apple has started their cell phone business with China Mobile. It's about time from Apple's view because they have been manufacturing I phones in China for years. Billionaire hedge fund investor Carl Ichan has been buying up Apple shares on the dips and becoming more an activist towards Apple management. I'm sure they now think he's a pain in their ass. Meanwhile. Microsoft had a nice quarter and is defying the gravity of falling stocks today as the Dow is now off over 200 points.
Well, the future of the market is dependent on a lot of things like a continued economic recovery and investor belief that corporate earnings will continue to show growth. But some individual stocks appear way ahead of their current earnings or future growth projections. These stocks are vulnerable.
Well, is the market entering the flying dream stage where the belief is starting to wane as maybe the Fed starts tapering the money supply? Or is this all just a profit taking bounce on cold Friday here in the east.
The winds of the future will only say and they are not speaking to me yet.
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ALL in my humble opinion, scroll down and read more..
This site does NOT make Buy / Sell recommendations.
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