Friday, October 5, 2007

Richard Russell

From investmentpostcards :
Richard Russell: “There are times when all you have in this business is your instinct. I’m going to use my instinct now. I think it’s time to be rather cautious toward this market. We’re in a very tricky area. I’ve said repeatedly that this is not an institutional market. It’s more of a trader’s market. And traders can reverse their opinion and actions at the drop of a hat.

“I’m getting a bit nervous about this market. It’s not one thing that I can put my finger on, but I’m watching those Lowry’s figures. I’m watching the rising number of new lows, and I keep waiting for volume to expand on the days when the market is higher. So let me put it gingerly. My instinct tells me that this is not a great time to be loaded with a broad spectrum of stocks. I think the best thing that could happen now would be the majority of stocks fluctuating within a trading range, while the Dow and maybe the ‘big’ stock averages tend to head higher. This has become a true two-tier market.”