With all the “selling” that analysts talk about, you would wonder where the money would go….parked at a cash account ? (Nah, interest rate is too low). Reinvested? Oh sure, but where?!
I have been looking at my mining stock BHP and also at 3M (since I already mentioned I like the banking sector to ride the uptrends.) Now it is interesting because 3M could qualify what Dr. Tharp calls “efficient stock”. Basically, these stocks go on a strong uptrend — a good one to keep as it doesn’t need much effort on your part — just let it do its work and watch your profit trailing stops. (Perfect for TraderMoms 🙂 since we are always ver busy!). And I found this great video discussing the fortunes of Vale (Brazilian mining stock – tied to China’s economy) and 3M – whether, as a defensive stock, it could continue its uptrend. It’s a great quick discussion and very helpful if you pay attention to strategies, key measurements and risk-reward calculations.
