If the U.S. economy is going to grow, I feel one indicator of future growth is the SOX (PHLX Semi-Conductor Index ). Once I look at an index , then I like to study the individual issues that may (or may not be) semi-conductor stocks that are in the SOX. INTC-1.07% ( Intel-1.07% ) is in the index , and it looks weak. QCOM-1.47% is in the index , and it looks very weak, having gone from $72 down to $44. The SOX index itself looks very weak. I mention this because....
One thing I might suggest: if you find a strong stock that is part of an Index fund, be careful, because in down markets even the strong stocks can fall if there is a forced liquidation because of mass redemptions. I would like to show you a study for Intersil Corp-0.17% . This stock is not in the SOX index . Intersil Corporation is a leader in the design and manufacture of high-performance semiconductors. ISIL products are used in some of the industry's fastest growing markets, such as flat panel displays, cell phones, other handheld systems, and notebooks. Yet, the stock is in a long term down-trend. The structure (as shown above) is very weak. Please move on to part 2 of 5. May all of your trades go well. Don.
One thing I might suggest: if you find a strong stock that is part of an Index fund, be careful, because in down markets even the strong stocks can fall if there is a forced liquidation because of mass redemptions. I would like to show you a study for Intersil Corp-0.17% . This stock is not in the SOX index . Intersil Corporation is a leader in the design and manufacture of high-performance semiconductors. ISIL products are used in some of the industry's fastest growing markets, such as flat panel displays, cell phones, other handheld systems, and notebooks. Yet, the stock is in a long term down-trend. The structure (as shown above) is very weak. Please move on to part 2 of 5. May all of your trades go well. Don.