Buy the Fear, Sell the Greed
February 28th, 2007 by Grant in: InvestingUnfortunately for my philosophy, the greed continues.
I had a buy order in for GLD today at $65.00 with the idea that the sell off from yesterday would roll over to the market open today, the chaos selling would subside and the bull market would press on. No dice.
The StreetTracks Gold Trust opened at $66.73, a $1.32 higher than the close yesterday. Evidently the fear in the gold market (and others) was short lived.
I’m not sure I’d call this a market correction, either. Sure, we had a huge sell off in a single day but based on today’s trading activity I’m not sure you can call this a true correction. If we see a continued slide in the days to come, you might convince me.
Big Ben Bernanke doesn’t seem phased either, standing by the data and concluding that there “…is really no material change in our expectations for the U.S. economy since I last reported to Congress a couple of weeks ago.” -Source
Personally, I’d like to see the markets drop a bit over the next few days. Continued massive sell offs like we saw yesterday aren’t healthy, but I think a little fear in the markets is long overdue, and may in fact be upon us.
I’ll leave my order for GLD in for tomorrow just in case we see a small slide in precious metals, but I’m not too optimistic my order will fill.
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