Dow to climb 15% in 2011 to 13365!!!

Discussion in 'Trading' started by S2007S, Jan 3, 2011.

  1. S2007S


    cramer saying the market is only going in one direction, up of course, what else would you expect him or any other money manager on wallstreet to say these days, there is literally zero risk in this market thanks to Bubble ben bernanke and friends!!!!! Do you think anyone is going to yell out that the dow is going to fall 15% in 2011 and end up closing below 10,000, fuck no. Markets only know one way for the year 2011 and that's straight up as the fed intervenes with more pomo and free trillions!!!

    Cramer: Dow to Climb 15% in 2011
    Published: Monday, 3 Jan 2011 | 6:44 PM ET
    Text Size
    By: Tom Brennan
    Web Editor, Mad Money

    Expect stocks to continue their climb throughout the New Year, Cramer said Monday. As a result, investors should buy, buy, buy because this is “the year for aggressive investing.”

    How can Cramer be so sure? For a number of reasons, actually.

    He thinks hiring is on the rise, and that creates a virtuous circle for the economy that pushes stocks higher, too. New jobs translate into more demand for housing, a dramatic decline in home-loan defaults, more credit demand at banks and higher tax receipts at the federal and local levels. Couple that increased revenue with the austerity measures already in place, Cramer said, and you end up with a lower deficit than anyone’s predicting.

    Plus, copper, a basic metal at the heart of all the world’s economies, is up. That in turn signals a rise in the demand for steel as well. Then there’s also the fact that people are cashing out of bonds and returning to stocks, which means they’re excited about making money in the market again.

    Cramer’s so confident in the coming year that he put a number on it: Dow 13,365, a 15-percent jump from current levels. That’s his guess after analyzing all 30 Dow stocks, predicting their gains for 2011 and adding them together.

    To name just a few of those predictions, Cramer expects Boeing [BA 66.40 1.14 (+1.75%) ] to rise 28 percent to $85, Home Depot [HD 35.31 0.25 (+0.71%) ] to jump 27 percent to $45 and Caterpillar [CAT 94.15 0.49 (+0.52%) ] to reach $120, or 27 percent higher than its present level. He’s bullish on the banks, too, and said the group is the best way to play this rebound in hiring, the consumer and new building.

    What won’t work in 2011? The defensive names: Kraft Foods [KFT 31.67 0.16 (+0.51%) ], Pfizer [PFE 17.68 0.17 (+0.97%) ], Merck [MRK 36.04 --- UNCH (0) ], Johnson & Johnson [JNJ 62.82 0.97 (+1.57%) ]. The same goes for the old-tech companies, like Microsoft [MSFT 27.98 0.07 (+0.25%) ], Hewlett-Packard [HPQ 42.74 0.64 (+1.52%) ] and Cisco Systems [CSCO 20.49 0.26 (+1.29%) ].

    Investors are better off with the Dow’s offensives stocks, Cramer said, and the oils. But there are three in particular he likes the most.
  2. If Cramer says it's going up then run for the exit it's time to sell.
  3. Do you think we may get a pullback before 13000 is hit so I can do some buying?
  4. 13000+ would mean almost a 100 percent gain in roughly 2 years -that would scare the beejeezus out of me. When was the last time something like that happened?
  5. I believe Nasdaq was up 85% in 1999. I guess we all know how that turned out.