A 10% pullback would be just a normal pullback during this time. When the bulk of traders and investors twine themselves into their cocoon. 20% percent pullback would be our government not resolving their differences and shutdown would occur. Right now, FED easing is holding down interest rates and pumping up the market but at a cost. Inflation and our falling dollar. Right now everything is hunky dory, it is anybody's guess which way things will go. Inexpensive entertainment seems to be the winner this type of environment, being retired I drive about 60 miles a month but my house is a entertainment haven, that coupled with my biking and woodworking hobbies and the gym 4 times a week, I am ready to baton down the hatches for what could be coming. As for future crashes like two and three years from now, I have no opinion, to soon to tell. And if everything get to hairy, I can always go back to Canada.
Long term Motley is correct most of the time. I like them guys and if your long term, say 2015, it should be about a triple from here. But the key to an investment is get in as low as possible. Watch our government pull each other hair like school girls at recess, when this stops, things may return to normalcy. But still expect at least a 10% pull back from here by July. JMO take it or leave it.
I agree with you except I dont think it happens by July. I think it happens late this year or early next year. Then about 2 or 3 years after that we will have the debt recession accompanied by the debt stock market crash which all the bears think will happen this year(they are wrong), which will last a few years(but wont be as bad as everyone thinks, Ive heard calls for DOW 1,000...I say DOW 6,000), and by 2018-2020 a new 10 year bull market will emerge and make us all rich(unless we lose all our capital in the crash...which we are all too smart and prepared to do).
How bout the obvious(but probably wrong) answer. Someone with money is selling and its picking up some steam triggering stops etc. Do you guys always need either bad news or good news to exit a position? Neither do the big guys.
Nervousness with earnings coming up after the light guidance. Anyone who's been invested with Dolby knows that they always underpromise and overdeliver. If the pattern holds, they will beat estimates this quarter and maintain guidance, then in the following earnings report, they will beat and raise guidance on improving conditions.
I have been very troubled over the last couple of months to note that the investors have nothing much to say about Dolby, except how great it is. Meanwhile the stock has dropped an amazing amount. The company has nothing helpful to say, or has chosen to say nothing. Today's drop so far suggests that bad news is on the way, and it has leaked to some but not most of the bag holders.