The Morning Call - 10/21/2008
Steve Cook on Disciplined Investing

Syndication

Have You Seen This?

News

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Have You Seen This?

Economics

 

   This Week’s Data

 

            The leading economic indicators for September rose .3% versus expectations that they would be unchanged.

http://econompicdata.blogspot.com/2008/10/leading-economic-indicators-up-02-in.html

 

   Other

 

            Housing data from southern California shows improvement:

            http://calculatedrisk.blogspot.com/2008/10/dataquick-socal-home-sales-up-50.html

 

            A long term chart of the dollar:

            http://bespokeinvest.typepad.com/bespoke/2008/10/us-dollar-a-nic.html

 

Politics

 

  Domestic

 

Gerrymandering and lack of term limits are part of the problem:

http://online.wsj.com/article/john_fund_on_the_trail.html

 

In case you missed this gem--Biden on Obama:

http://hotair.com/archives/2008/10/20/biden-obamas-inexperience-will-prompt-nations-to-test-us/

 

  International War Against Radical Islam

 

The Market

           

    Technical/ Fundamental

 

            More technical data from Traderfeed:

            http://traderfeed.blogspot.com/2008/10/buying-interest-in-stocks-improved-but.html

 

            A look at volatility:

            http://www.capitalspectator.com/archives/2008/10/volatility_less.html

 

            An update of quarterly earnings reports:

            http://bespokeinvest.typepad.com/bespoke/2008/10/third-quarter-e.html

 

************************************************

 

            Stock prices continued the advance yesterday.  If one were to hypothesize (which I am) that stocks are for the moment in a trading range defined by DJIA 7859--9707 (admittedly, the 9707 resistance level is iffy), then yesterday’s close puts stock prices in the upper 25% of that range. 

 

            In our current strategy that means that our Portfolios should be raising cash from their current 20.5% position toward 25%.  My focus is on those stocks that have had a poor relative recovery off their lows. 

 

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Posted 10-21-2008 5:20 AM by Steve Cook