2-1-15 Comments

I have uploaded watch lists. What is remarkable is that I am finding no real fresh candidates to add to the list. I expect that as we move through earnings season that some new items might surface. Six years into a bull market and a tired list of old leaders that keep showing up week after week is not inspiring. They should either breakout or breakdown but not loiter.

Gerald Leob once said (paraphrasing): No security of any kind should under any circumstances be bought or retained unless in the investor's well and deeply considered judgement the profit possibilities are large and greatly outweigh the visible risks. Early last week I went to cash and remain there until the market begins trending.

Still I make watch lists because these and Jerry's leaders index is how I will monitor for changing conditions. It is also how I will be ready to move when the climate is right.