Posts tagged as: stockmarket
GOOG indicator update
Posted on Wednesday, January 25, 2006
at 8:24 AM (permalink)
The GOOG indicator is my contrarian approach of buying Google stock when the lead tech bloggers say negative things about GOOG, and selling when they are positive. Yesterday there were several predictions that GOOG would fall, so I bought ten shares at $437. The stock closed at $443.03. I'll hold this position until I see positive comments on GOOG, at which point I'll sell. Does the current fuss about Yahoo supposedly conceding the search market count as a sell indicator? No, because these are statements about Google as a company. Companies and their stock are two distinct entities, which is my whole point. Too many people in the blogosphere mistakenly think they are the same.
GOOG contrarian indicator
Posted on Tuesday, January 24, 2006
at 7:21 AM (permalink)
With Google stock now the most visible indicator of the tech industry's health, many tech bloggers have turned into amateur stock analysts. This is starting to become reminiscent of the Yahoo Finance message boards during the later days of the Dotcom boom. The latest example is John Battelle's hot tip on Google's upcoming earnings report. He thinks they are going to miss the street's estimates. I've decided to treat this phenomenon as a contrarian indicator, meaning that I will bet on the opposite side of the blogosphere. Each morning I'll add up the consensus of the GOOG posts in my RSS feeds, and then buy or sell 10 shares of the stock in the opposite direction. This morning things look negative, so I'll be buying. I'll see if I can rig up a simple reporting mechanism on my navbar to show my latest move.
Blodget Blogging
Posted on Monday, January 16, 2006
at 3:09 PM (permalink)
It used to be that people in need of refashioning themselves after a crash would enter rehab and/or appear on Oprah. Now they start a blog. My favorite example is Henry Blodget, whose InternetOutsider blog is fascinating reading. The irony of the blog's title is heightened by such posts as $500. $600. $2,000. Do I Hear $10,000? $0?, in which he makes the bear case for Google. For those who spent the late Nineties under a rock, Blodget was the poster boy (what a great cliche) for the Dot-Com stock craze, when he was a stock analyst for Merrill Lynch. His most famous call was a $400 price target for Amazon. Now that he is coming back after being knocked out of the game, his writing has a humility and gentleness that is refreshing. Definitely aggregator worthy.
|
