An Introduction to the Technology stock trading cycle

Discussion in 'Trading' started by retaildaytrader, Nov 17, 2010.

  1. Right after Christmas, there are many devices, gadgets, phones and computers that will become obsolete. In the new year will be faster, better things... For example, next year comes the next generation of Snapdragon and Atom processors which promise to have double the speed (and use less power) then this year's versions.

    So, with that said, sometime between now and January technology stocks will start their downtrend. In fact, it might have even started happening. Then around February or March each technology stock will make a decision as to their next direction. This year Apple put out the Ipad and no one knew it was going to be a hit until around March after the initial sales. Apple seemed to zoom up after that on the pad and iphone4. On the other hand, RIMM has been this awesome short since March even reaching near its March 2009 lows...thats because RIMM has not put out anything earth shattering.

    So there is the technology trading cycle in a nutshell. IMHO, TQNT may be a short right now.