Wednesday, November 11, 2009

More of the Same

The market continues to show strength, as most of the news out there is positive.

RHIE dropped again today as it still hasn't found a bottom. It will be interesting to see if Seth Klarman picks up any shares at these levels, as he has in the past. As usual when this happens with a stock, you get people on message boards and blogs saying they are done for. They are most likely short the stock and aren't willing to have a conversation about it. There are always risks and its important never to risk more than you can afford to lose, especially with a stock that is this volatile. That's about all I have to say about that. I had reasons for buying it, and I still see value there. It may take time for that value to be realized. If it was easy, everyone would do it.

I continue to see more confidence out there, and as much as I feel stocks should pullback, it may just as easily not happen for awhile. There are still pockets of value out there. I don't like many large caps at this point, as most are overvalued when looking at the whole situation.

As always, I'll report any transactions and/or ideas that come up and I welcome your ideas as well.

Thanks for reading.

Disclosure: Long RHIE

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