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New Column up at Real Money (02/29/05)

Posted By Barry Ritholtz On March 30, 2005 @ 7:11 am In Media | Comments Disabled

RealMoney

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My latest Street.com column, "Repositioning Before the Selloff [1]," is up at RM. Its based on our intermediate top call, "The Trap is set: Last Chance to Reposition [2]" from earlier this week.

Here’s an excerpt:

"Yesterday morning, I warned clients to use any lift to sell equities. CNBC reported on the call in the afternoon, and many readers have asked for a more detailed explanation.

Last week the market became so oversold that a corrective bounce was due. We saw that move begin in Monday’s rally. But don’t get too excited yet: I expect this bounce to last a week or so — two at most — before the markets start heading south again in a selloff that I expect to last until early summer, and bring the Dow down to the 8,800 to 9,000 level.

As such, I have been advising clients to use any lift as an opportunity to exit most of their long positions. In particular, I have been exhorting managers to sell cyclical, rate-sensitive and high-beta holdings.

I have aggressively sold equities, and I am now about 50% cash. I expect to be in even more cash by next week . . ."

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Source:
Repositioning Before the Selloff [1]
RealMoney.com
3/29/2005 2:15 PM EST
http://www.thestreet.com/p/rmoney/barryritholtz/10215156.html


Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2005/03/new-column-up-at-real-money-022905/

URLs in this post:

[1] Repositioning Before the Selloff: http://www.thestreet.com/p/rmoney/barryritholtz/10215156.html

[2] The Trap is set: Last Chance to Reposition: http://bigpicture.typepad.com/comments/2005/03/the_trap_is_set.html

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