Dent Comments

After the Nasdaq was the clear leader in the first two weeks of January, it has gotten hammered in the last two days. Money clearly started moving out of energy and commodity stocks and into technology. But we still obviously have a confused market dominated by the traders and not clear convictions by investors. Hence, it is more likely now that the Nasdaq will enter a trading range between 2,390 and 2,510 from now into late February. Hence, buy targets for adding new money will now be between 2,390 and 2,400.

But the downside is still likely to be very modest and we do expect the Nasdaq to lead the next strong move now that the advance from late July of 2006 seems to be cresting. The next strong move is likely to come from March into September or October.